Annual report and audited financial statements · 2021. 3. 24. · This annual report and audited financial statements ... Coöperatieve Rabobank U.A. Croeselaan 18 3521 CB Utrecht

For the financial period from 19 November 2019 (Date of Registration) to 31 October 2020

Annual report and audited

financial statements

1895 FONDS FGR

1895 FONDS FGR

2

CONTENTS

Page

Overview

General information 3

Background 4

Performance

Investment manager’s report 5

Governance

Manager’s report 10

Depositary’s report to the unitholders 12

Other information pursuant to Part 9 of Book 2 of the Dutch Civil Code

Appropriation of results 13

Independent auditor’s report 14

Financial Statements

Statement of comprehensive income 16

Statement of changes in equity 17

Statement of financial position 18

Statement of cash flows 19

Notes to the financial statements 20

Additional information and regulatory disclosures (unaudited)

Report on remuneration 48

This annual report and audited financial statements (the “Report and Financial Statements”) may be translated into other languages. Any such translation shall only contain the same information and have the same meaning as the English language Report and Accounts. To the extent that there is any inconsistency between the English language Report and Financial Statements and the Report and Financial Statements in another language, the English language Report and Financial Statements will prevail, except to the extent (and only to the extent) that it is required by law of any jurisdiction where the units are sold, that in an action based upon disclosure in a Report and Accounts in a language other than English, the language of the Report and Financial Statements on which such action is based shall prevail. Any disputes as to the terms of the Report and Accounts, regardless of the language of the Report and Accounts, shall be governed by and construed in accordance with the laws of the Netherlands.

1895 FONDS FGR

3

GENERAL INFORMATION Directors of the Manager1

William Roberts (Chairman) (British but Irish resident)2 Patrick Boylan (Irish) Paul Freeman (British) Justin Mealy (Irish) Barry O’Dwyer (Irish) Adele Spillane (Irish) Catherine Woods (Irish)2

Secretary to the Legal Titleholder Citco Nederland B.V. Naritaweg 165 1043 BW Amsterdam The Netherlands

1All Directors are non-executive with the exception of Justin Mealy who is an executive Director. 2William Roberts and Catherine Woods are Independent Directors.

Independent Auditor Ernst & Young Accountants LLP Antonio Vivaldistraat 150 1083 HP Amsterdam The Netherlands

Manager BlackRock Asset Management Ireland Limited 1st Floor Ballsbridge Park Ballsbridge Dublin 4 Ireland

Investment Manager BlackRock Investment Management (UK) Limited 12 Throgmorton Avenue London EC2N 2DL United Kingdom

Legal Titleholder 1895 Fonds Stichting 1 Amstelplein 1, 1096HA Amsterdam The Netherlands

Sub-Investment Managers For 1895 Wereld Aandelen Enhanced Index Fonds Amundi Asset Management SAS 90 Boulevard Pasteur 75015 Paris France

Administrator, Registrar and Transfer Agent The Bank of New York Mellon SA/NV, Amsterdam Branch WTC Building Podium Office, B Tower Strawinskylaan 337 1077 XX Amsterdam The Netherlands

For 1895 Wereld Multifactor Aandelen Fonds HSBC Global Asset Management (UK) Limited 8 Canada Square Canary Wharf London E14 5HQ United Kingdom

Depositary The Bank of New York Mellon SA/NV, Amsterdam Branch WTC Building Podium Office, B Tower Strawinskylaan 337 1077 XX Amsterdam The Netherlands

For 1895 Euro Obligaties Index Fonds State Street Global Advisors Limited 20 Churchill Place Canary Wharf London E14 5HJ United Kingdom

Secretary of the Manager Sanne 4th Floor 76 Baggot Street Lower Dublin 2 Ireland

For 1895 Wereld Bedrijfsobligaties Fonds PGIM Limited Grand Buildings 1 – 3 Strand Trafalgar Square London WC2N 5HR United Kingdom

Principal Distributor BlackRock Investment Management (UK) Limited 12 Throgmorton Avenue London EC2N 2DL United Kingdom

Invesco Asset Management Limited Perpetual Park Drive Henley-on-Thames Oxfordshire RG9 1HH United Kingdom

Sub-Distributor Coöperatieve Rabobank U.A. Croeselaan 18 3521 CB Utrecht The Netherlands

Quoniam Asset Management GMBH Weshafentower Westhafenplatz 1 6037 Frankfurt am Main Germany

1895 FONDS FGR

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BACKGROUND 1895 Fonds FGR (the “Entity”) is a Dutch collective investment scheme registered on 19 November 2019. The Entity is authorised in the Netherlands by the Netherlands Authority for the Financial Markets (the "AFM") established under the laws of the Netherlands as an Undertaking for Collective Investment in Transferable Securities (UCITS) for the purposes of the provisions of the European Communities Undertakings for Collective Investment in Transferable Securities Regulations (the "UCITS Regulations"). The Entity is an investment fund within the meaning of article 1:1 of the Act on Financial Supervision (Wet op het financieel toezicht) (the “ASF”). The Entity is structured as an umbrella fund which means that it consists of various sub-funds. The term Fund shall be deemed to mean either the Entity or the applicable sub-funds of the Entity. Each Fund is a fund for joint account (fonds voor gemene rekening) and not a legal entity which means that each Fund is a contractual arrangement between BlackRock Asset Management Ireland Limited (the “Manager”) and the applicable legal titleholder of the Fund. The assets of each Fund will be invested in accordance with the investment objectives and policies applicable to that Fund. Further details, including the investment objectives and minimum subscription requirements, are set out in the Entity’s prospectus. Changes to the Entity during the financial period On 19 November 2019, the Entity was registered with the AFM and a prospectus was issued for the Entity to facilitate the launch of 1895 Wereld Aandelen Enhanced Index Fonds. On 5 March 2020, an updated prospectus was issued for the Entity to facilitate the launch of 1895 Wereld Multifactor Aandelen Fonds. On 8 April 2020, an updated prospectus was issued for the Entity to facilitate the launch of 1895 Euro Obligaties Index Fonds. On 11 May 2020, PNC Financial Services Group, Inc. (“PNC”) announced its intent to sell its investment in BlackRock, Inc. through a registered offering and related buyback by BlackRock, Inc. On 11 August 2020, an updated prospectus was issued for the Entity to facilitate the launch of 1895 Wereld Bedrijfsobligaties Fonds. The following Funds launched during the financial period.

Fund name Date

1895 Wereld Aandelen Enhanced Index Fonds 14 January 2020 1895 Wereld Multifactor Aandelen Fonds 13 March 2020 1895 Euro Obligaties Index Fonds 18 June 2020 1895 Wereld Bedrijfsobligaties Fonds 24 September 2020

On 30 October 2020, an updated prospectus was issued for the Entity in anticipation of the launch of 1895 Wereld Investment Grade Obligaties Fonds on 12 November 2020. United Kingdom Exit from European Union On 31 January 2020 the United Kingdom (the “UK”) formally withdrew and ceased being a member of the European Union (the “EU”). Following this, the UK entered into a transition period which lasted for the remainder of 2020, during which period the UK was subject to applicable EU laws and regulations. The transition period expired on 31 December 2020, and EU law no longer applies in the UK. On 30 December 2020, the UK and the EU signed an EU-UK Trade and Cooperation Agreement (“UK/EU Trade Agreement”), which applies from 1 January 2021 and sets out the foundation of the economic and legal framework for trade between the UK and the EU. As the UK/EU Trade Agreement is a new legal framework, the implementation of the Agreement may result in uncertainty in its application and periods of volatility in both the UK and wider European markets throughout 2021 and beyond. The UK’s exit from the EU is expected to result in additional trade costs and disruptions in this trading relationship. While the UK/EU Trade Agreement provides for the free trade of goods, it provides only general commitments on market access in services together with a “most favoured nation” provision which is subject to many exceptions. Furthermore, there is the possibility that either party may impose tariffs on trade in the future in the event that regulatory standards between the EU and the UK diverge. The terms of the future relationship may cause continued uncertainty in the global financial markets, and adversely affect the performance of the Company. Volatility resulting from this uncertainty may mean that the returns of the Company’s investments are affected by market movements, the potential decline in the value of Sterling or Euro, and the potential downgrading of sovereign credit ratings of the UK or an EU member state. Outbreak of COVID-19 An outbreak of an infectious respiratory illness caused by a novel coronavirus known as COVID-19 was first detected in China in December 2019 and has now developed into a global pandemic. The impact of this significant event on the Fund’s financial risk exposure is disclosed in Note 3. The Investment Manager has assessed the impact of market conditions arising from the COVID-19 outbreak on the Funds' ability to meet their investment objectives. Based on the latest available information, the Funds continue to be managed in line with their investment objectives, with no disruption to the operations of the Funds and the publication of net asset values.

1895 FONDS FGR

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INVESTMENT MANAGER’S REPORT Investment objective 1895 Wereld Aandelen Enhanced Index Fonds The Fund’s investment objective is to seek to provide Unitholders with a total return, taking into account both capital and income returns, which reflects the return of the MSCI All Countries World Index EUR (the “Benchmark Index”). The Fund seeks to achieve its investment objective by investing in a portfolio of equity securities and equity-related securities that as far as possible and practical consists of the component securities of the Benchmark Index. 1895 Wereld Multifactor Aandelen Fonds The Fund’s investment objective is to seek to provide a total return over a period of at least 5 years whilst also seeking to outperform the MSCI All Countries World Index EUR (the “Performance Index”). The Fund seeks to achieve its investment objective by investing at least 80% of its total assets in equity securities and equity-related investments of companies worldwide. The Fund may also invest in other asset classes to seek to achieve its investment objective and/or for liquidity purposes. These other asset classes include fixed income securities, money market instruments, collective investment schemes, cash, or assets that can be turned into cash quickly.

1895 Euro Obligaties Index Fonds The Fund’s investment objective is to seek to provide Unitholders with a total return, taking into account both capital and income returns, which reflects the return of the Bloomberg Barclays Euro-Aggregate 500MM+ Bond Index (the “Benchmark Index”). The Fund seeks to achieve its investment objective by investing in the fixed income securities that predominantly make up the Fund’s Benchmark Index. The Fund intends to use optimisation techniques in order to achieve a similar return to the Benchmark Index and it is therefore not expected that the Fund will hold each and every underlying constituent of the Benchmark Index at all times, or hold them in the same proportion as their weightings in the Benchmark Index. 1895 Wereld Bedrijfsobligaties Fonds The Fund’s investment objective is to seek to provide a total return over a period of at least 5 years whilst also seeking to outperform the Bloomberg Barclays Global Aggregate Corporate Index EUR (Hedged) (the “Performance Index”). The Fund seeks to achieve its investment objective by investing at least 80% of its total assets in fixed-income securities and fixed-income related securities of issuers worldwide. The Fund’s investments will normally be listed or traded on Regulated Markets. The Fund may also invest in other fixed income securities (such as bonds issued by governments and government agencies and supranational bonds domiciled globally).

Fund name Benchmark Index/Performance Index Investment management approach 1

1895 Wereld Aandelen Enhanced Index Fonds2 MSCI All Countries World Index Index tracking - non-replicating

1895 Wereld Multifactor Aandelen Fonds3 MSCI All Countries World Index Active

1895 Euro Obligaties Index Fonds4 Bloomberg Barclays Euro-Aggregate 500MM+ Bond Index

Index tracking - non-replicating

1895 Wereld Bedrijfsobligaties Fonds5 Bloomberg Barclays Global Aggregate Corporate Index EUR (Hedged)

Active

1 For physically replicating funds, the investment management approach is to buy a portfolio of securities that as far as practicable consists of the securities that make up the Benchmark Index/Performance Index, in similar proportion to the weights represented in the Benchmark Index/Performance Index over a defined period of time. For non-replicating funds, the investment management approach aims to match the main risk characteristics of the Benchmark Index/Performance Index by investing in a portfolio that is primarily made up of securities that represent the Benchmark Index/Performance Index. The objective is to generate a return which is as close as practicable to the total return of the Benchmark Index/Performance Index net of transaction costs and gross of fees and other cost. 2 The Fund launched on 14 January 2020. 3 The Fund launched on 13 March 2020. 4 The Fund launched on 18 June 2020. 5 The Fund launched on 24 September 2020.

Performance summary, tracking difference and tracking error The following tables compares the realised Fund performance against the performance of the relevant Benchmark Index/Performance Index during the financial period ended 31 October 2020. It also discloses the anticipated tracking error of the Funds (disclosed in the prospectus on an ex-ante basis) against the actual realised tracking error of the Funds as at 31 October 2020. Further information on these Performance Indexes and calculation methodologies used is detailed below:

The Funds' return, net of fees, for the financial period under review is shown below. The calculation methodology is based on

industry standards.

Fund returns are based on the Net Asset Value (“NAV”) calculated in accordance with the prospectus for the financial period under

review with any dividends reinvested. Returns of less than 0.005% are rounded down to zero.

Tracking difference measures the difference in returns between a fund and its benchmark index.

1895 FONDS FGR

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INVESTMENT MANAGER’S REPORT (CONTINUED) Performance summary, tracking difference and tracking error (continued)

Each Fund’s ongoing charges figure ("OCF") is accrued on a daily basis throughout the financial period, which can impact the

measurement of a tracking error in a positive or negative manner depending on the performance in the market and the OCF rate

applied. The extent and magnitude of this effect on Performance Index is subject to the timing of the market performance relative to

the performance period of the Fund and can be greater than the headline OCF in a positive market and lower than the OCF in a

negative market. The OCF expresses the sum of all fees, operating costs and expenses, with the exception of direct trading costs

and performance fees, charged to each Fund’s assets as a percentage of the average Fund assets based on a twelve-month

period ended 31 October 2020.

Anticipated tracking error is based on the expected volatility of differences between the returns of a Fund and the returns of its

benchmark index.

Realised tracking error is the annualised standard deviation of the difference in monthly returns between a Fund and its benchmark

index. Tracking error shows the consistency of the returns relative to the benchmark index over a defined period of time. The

realised tracking error is annualised and calculated using data from the preceding 36 month observation period. Where a Fund has

not been trading for 36 months, the annualised tracking error since inception has been presented.

The table and the relevant footnotes also indicate the primary drivers impacting tracking difference gross of the OCF and where the realised tracking error is greater than the anticipated tracking error. Primary drivers impacting tracking difference include cash management, efficient portfolio management techniques, transaction costs from rebalancing and currency hedging and sampling techniques. Tax may also impact tracking difference and tracking error due to withholding tax suffered by the Fund on any income received from its investments where such withholding tax cannot be reclaimed. The level and quantum of tracking difference/tracking error arising due to withholding taxes depends on various factors such as any reclaims filed on behalf of the Fund with various tax authorities, any benefits obtained by the Fund under a tax treaty. Importantly, these impacts can be either positive or negative depending on the underlying circumstances.

Fund return

%

Benchmark Index

%

OCF %

Tracking

difference gross of OCF

%

Anticipated tracking error

%

Realised tracking

error %

Other tracking difference and tracking error

drivers 1895 Wereld Aandelen Enhanced Index Fonds 1

- Class D

(6.48) (6.75) 0.07 0.35 Up to 1% 1.32 a, b

1895 Euro Obligaties Index Fonds1

- Class D

2.64 2.70 0.04 (0.02) Up to 1% 0.26

1The Fund commenced trading during the financial period. Returns are shown from launch date to the end of the financial period and the OCF is the effective OCF from launch date to the financial period end date. a The tracking difference was driven by additional ESG related requirements of the Fund relative to the benchmark. b The tracking difference was also driven by timing differences between the fund and the benchmark.

1The Fund commenced trading during the financial period. Returns are shown from launch date to the end of the financial period. Past performance is not a guide to future performance and should not be the sole factor of consideration when selecting a product. All financial investments involve an element of risk. Therefore, the value of your investment and the income from i t will vary and your initial investment amount cannot be guaranteed. The performance figures do not consider charges and fees that may be levied at the time of subscription or redemption of units. Levels and bases of taxation may change from time to time. Subscriptions may be made only on the basis of the current prospectus, of which the key investor information documents (“KIIDs”) form an integral part. Copies of which are available from Investor Services, (see prospectus for details on how to locate your local Investor Services team), the Transfer Agent, the Manager or any of the Representatives or Distributors.

Fund name Fund return

% Performance Index

%

1895 Wereld Multifactor Aandelen Fonds1

- Class D

11.82 10.66

1895 Wereld Bedrijfsobligaties Fonds 1

- Class D (0.04) (0.10)

1895 FONDS FGR

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INVESTMENT MANAGER’S REPORT (CONTINUED) Global Economic Overview Global equities, as represented by the MSCI All Country World Index (“ACWI”) (in US Dollar terms), posted a return of 4.89% for the twelve months ended 31 October 2020. World stock markets gained steadily for much of the reporting period’s first four months, supported by solid, if slowing, economic growth and accommodative monetary policy from the US Federal Reserve (the “Fed”) and several other central banks. However, the spread of the COVID-19 in early 2020 injected uncertainty into global markets, leading to steep declines for all classes of equities. Countries around the globe instituted restrictions to slow the progress of COVID-19, resulting in a sharp economic downturn and a sudden rise in unemployment. Turbulence in energy markets also impacted equities, as a rapid fall in oil prices threatened the viability of parts of the energy sector. Beginning in late March 2020, however, equities regained a significant portion of their losses as aggressive policy responses from governments and central banks, the phased reopening of economies around the world, and new treatments of COVID-19 raised hopes for an economic recovery. Despite economic data that indicated substantial weakness, some indices touched all-time highs in early September 2020, reflecting investors’ optimism that economic conditions would continue to improve as countries adapt to life with the COVID-19. Stocks gave back some of those gains in the period’s final two months, however, amid rising infections and the fading impact of stimulus programs. The environment for global bond markets was positive prior to the COVID-19 pandemic, as low inflation, risk avoidance, and demand for yield led to higher bond prices despite yields near historic lows. However, as the outbreak worsened in March 2020 and the impact to the global economy became apparent, many bond prices fell, particularly for corporate and emerging market bonds, before recovering due to central bank interventions. The demand for less risky assets led to solid returns for US Treasuries, and the yield on the 10-year US treasury, a benchmark lending rate for the bond market, touched an all-time low in March 2020. Global government and corporate bonds posted solid returns, as bond prices recovered significantly in the second half of the reporting period. In the wake of the crisis, the Fed implemented an unprecedented corporate bond purchasing facility, which provided significant support to US corporate bond prices. Fed support led to record corporate bond issuance, as companies took advantage of the additional liquidity it provided. Stocks in emerging markets posted a solid advance for the reporting period. These stocks were initially among the most affected by the COVID-19 pandemic, as lockdowns and factory closures in China weighed on Chinese markets. Many of the emerging Asian economies that have substantial trade with China also suffered significant supply and demand shocks. However, emerging market equities rebounded as infection rates slowed and economies reopened, and China reported economic data indicating a strong recovery. Emerging market bond prices, which fell sharply in March 2020, recovered due to optimism about the pace of economic recovery, performing roughly in line with other international bonds for the 12-month period. In the commodities market, gold prices rose sharply, touching an all-time high in August 2020 as investors sought alternative stores of value amid a large increase in the money supply. Oil prices, already low throughout the first part of the reporting period, fell rapidly to a 21-year low in April 2020. The combination of weakened demand and increased supply following a dispute between Russia and Saudi Arabia (two of the world’s leading oil producers) drove oil prices down sharply, although prices recovered somewhat thereafter. Looking at currencies, the US Dollar declined against most global currencies, particularly late in the reporting period, reflecting unprecedented monetary stimulus, record low interest rates, and the continued spread of COVID-19 infections. The Euro, the Japanese yen, and the Swiss franc all advanced against the US Dollar, while the Sterling was flat. Prior to the spread of the COVID-19, global economic growth was slow but resilient, with the US growing faster than most other developed countries. However, the disruption caused by the pandemic led to a significant worldwide economic contraction. The US economy shrank by an annualised record 31.4% in the second quarter of 2020, and the economies of the Eurozone and Japan fell into recession. Signs of recovery appeared late in the reporting period, however, as the Chinese economy returned to growth in the second quarter of 2020, and the US, the Eurozone, and Japan followed in the third quarter. After the COVID-19 outbreak, the Fed instituted two emergency rate cuts, and along with other influential central banks implemented major bond-buying programs to stabilise debt markets. The synchronized economic stimulus ultimately jumpstarted economic growth and supported risk taking in global markets. The Fed further committed to a near-zero interest rate policy through 2022 in a bid to promote longer-term economic expansion.

1895 FONDS FGR

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INVESTMENT MANAGER’S REPORT (CONTINUED) Entity performance review and activity 1895 Wereld Multifactor Aandelen Fonds Since the Fund’s inception to the period ended 31 October 2020, the Fund’s active return was 1.16%, outperforming its Performance Index (active return is the difference between the Fund's return and the Performance Index return). Since the Fund launched in March 2020, the main driver of global equity markets has been the evolving COVID-19 pandemic. During the period, markets were also increasingly looking ahead to the US election. Momentum and size were the best performing factors whilst minimum volatility and value performed the worst. The following were the largest contributors to and detractors from the Fund’s return relative to the Performance Index:

Largest contributors Largest detractors

Factor

Effect on

Fund return

Factor

Effect on

Fund return

Momentum

Size

Quality

Value

0.5%

0.2%

0.0%

0.0%

Residual

Low Volatility

(0.5%)

(0.2%)

The following table details the significant active positions, where the Fund is overweight (holds more exposure than the Performance Index) and underweight (holds less exposure than the Performance Index), as at 31 October 2020:

Largest overweight position

31 October 2020

Country Weighting

Ireland +0.51%

Sweden +0.43%

Denmark +0.39%

Largest underweight position

31 October 2020

Country Weighting

United States (0.92%)

India (0.49%)

Taiwan (0.45%)

Where the Fund is underweight to a sector/region, the return from such sector/region will have an opposite effect on the Fund ’s active return. This may result in a sector/region being listed as a contributor/detractor but not listed on the Fund’s Portfolio Statement. There have been no strategic portfolio changes since inception, although there has been a slight tilt out of quality into momentum over the period.

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INVESTMENT MANAGER’S REPORT (CONTINUED) Entity performance review and activity (continued) 1895 Wereld Bedrijfsobligaties Fonds Since the Fund’s inception to the period ended 31 October 2020, the Fund’s active return was 0.06%, outperforming its Performance Index (active return is the difference between the Fund's return and the Performance Index return). Since the inception of the Fund in September 2020, the resurgence in COVID-19 cases in Europe and the US elections have dominated the news. During the period, US yields rose amid positive US data and the expectation around stimulus, while European yields fell across the board, as concerns around COVID-19 were heightened. Credit spreads slightly tightened across developed markets. During the period, the following were the largest contributors to and detractors from the Fund’s return relative to the Performance Index:

Largest contributors Largest detractors

Country

Effect on Fund active return

Country

Effect on Fund active return

United States Ø

United Kingdom #

Canada Ø

Luxembourg #

0.20% 0.03% 0.02% 0.02%

Germany #

Australia Ø

Netherlands Ø

China #

(0.01%) (0.01%) (0.01%) (0.01%)

# Overweight position - holds more exposure than the benchmark.

Ø Underweight position - holds less exposure than the benchmark.

The following table details the significant active positions, where the Fund is overweight (holds more exposure than the Performance Index) and underweight (holds less exposure than the Performance Index), as at 31 October 2020:

Largest overweight position

31 October 2020

Country Weighting

Japan

Switzerland

Luxembourg

+1.1%

+0.9%

+0.8%

Largest underweight position

31 October 2020

Country Weighting

United States

Canada

Netherlands

(8.1%)

(2.8%)

(0.4%)

Where the Fund is underweight to a Country, the return from such Country will have an opposite effect on the Fund’s active return. This may

result in a Country being listed as a contributor/detractor but not listed on the Fund’s Portfolio Statement.

There have been no major portfolio changes since inception.

BlackRock Investment Management (UK) Limited November 2020

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MANAGER’S REPORT The Manager presents their report and audited financial statements for the financial period from 19 November 2019 (Date of Registration) to 31 October 2020. Principal Activities 1895 Fonds FGR (the “Entity”) is a Dutch collective investment scheme registered on 19 November 2019. The Entity is structured as an umbrella fund which means that it consists of various Funds. The assets of each Fund will be invested in accordance with the investment objectives and policies applicable to that Fund. As at 31 October 2020, the Entity consisted of four Funds. A review of the performance of each Fund for the period is included in the Investment Manager’s Report. A copy of the prospectus, annual report and half yearly report in respect of 1895 Fonds FGR shall be available, on an ongoing basis, at the following website: https://www.blackrock.com/nl/particuliere-beleggers/produkten/blackrock-1895-funds Results and dividends The results and dividends for the financial period of the Entity are set out in the statement of comprehensive income. Details of the financial situation of the Funds at the period end are set out in the statement of financial position. Review of business and future developments The specific investment objectives and policies of each Fund are formulated by the Directors of the Manager at the time of the creation of the Fund. Investors in a Fund are expected to be informed investors who have taken professional advice, are able to bear capital and income risk, and should view investment in a Fund as a medium to long term investment. A description of the Fund, its performance review and a market review can be found in the Background section and the Investment Manager’s report. The performance review encompasses tracking error and tracking difference disclosures which are key metrics as to how well the Fund has been managed against their benchmark indices. A review of the potential implications of Brexit which could impact the Entity’s business are included in the Background section. Risk management objectives and policies The financial instruments and risks facing the Entity are set out in the notes to the financial statements.

Main Risks Risk Appetite Impact during the period Risk Management/Internal Control

Market Risk

1895 Wereld Aandelen Enhanced Index Fonds

High

Results of operations for the period are disclosed in the Statement of Comprehensive Income.

Actively monitored as part of the risk management and compliance framework and items of escalation reported as necessary.

1895 Wereld Multifactor Aandelen Fonds

High

1895 Euro Obligaties Index Fonds

Low

1895 Wereld Bedrijfsobligaties Fonds

Average

Foreign Currency Risk


Average

Foreign currency exposure are disclosed in note 3.



Average


Low


Low

Concentration Risk


Low

Sector disclosures are disclosed in note 19.



Low


Low

1895 Wereld Bedrijfsobligaties Fonds Low

https://www.blackrock.com/nl/particuliere-beleggers/produkten/blackrock-1895-funds

1895 FONDS FGR

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MANAGER’S REPORT (CONTINUED) Risk management objectives and policies (continued)

Main Risks* Risk Appetite Impact during the period Risk Management/Internal Control

Active Risk


Low

Tracking errors and performance returns relative to the benchmark are disclosed on page 6.



Average


Low


Average

*A definition of the above risks are included within note 3. The risk management framework is also disclosed within note 3.1. Subsequent events after the financial period end The significant events which have occurred since the statement of financial position date are set out in the notes to the audited financial statements. Administrative Organisation and Internal Controls The Manager has documented the administrative organisation and internal controls in accordance with the Act on Financial Supervision (Wet op het financieel toezicht) (the “AFS”) and the Decree on Conduct of Business of Financial Institutions AFS (Besluit Gedragstoezicht financiële ondernemingen Wft) (”BGfo”). During the period we have reviewed the various aspects of the Entity’s operations. Our work did not find anything that would lead us to conclude that the administrative organisation and the system of internal controls as referenced in article 121 of the BGfo do not satisfy the requirements as laid down in the BGfo and related regulations. Furthermore, we did not find that the administrative organisation and internal controls are ineffective or that they do not operate in accordance with their description. Based on the above, we declare as Manager of the Entity, that we are in possession of a description of the administrative organisation and internal controls in accordance with article 121 of the BGfo which fulfils the requirements of the BGfo. We also state with a reasonable degree of certainty that the administrative organisation and the system of internal controls were effective and operated in accordance with their description during the period. Report on remuneration Disclosures in respect of the remuneration policies of the BlackRock group ("BlackRock"), as they apply to BlackRock Asset Management Ireland Limited (the "Manager") are included in the Report on Remuneration in the Additional information and regulatory disclosures (unaudited). There have been no significant changes to the remuneration policies between the date of the Report on Remuneration (31 December 2019) and 31 October 2020.

On behalf of the Manager

Director Director 18 February 2021 18 February 2021

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1895 FONDS FGR

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DEPOSITARY’S REPORT TO THE UNITHOLDERS

Considering that • The Bank of New York Mellon SA/NV, Amsterdam branch (“the depositary”) is appointed to act as depositary of 1895 Wereld Aande len

Enhanced Index Fonds, 1895 Wereld Multifactor Aandelen Fonds, 1895 Euro Obligaties Index Fonds and 1895 Wereld Bedrijfsobligaties Fonds (“the funds”) in accordance with Chapter 4 of the Directive 2009/65/EC of the European Parliament and of the Council of 13 July 2009 (the “UCITS Directive”);

• Such appointment and the mutual rights and obligations of the fund manager and the depositary of the fund have been agreed upon in the depositary agreement dated 8 November 2019 between such parties, including the schedules to that agreement (the “depositary agreement”);

• The depositary issues this statement exclusively to the fund manager in relation to the activities of the fund manager and relates to the period of 19th of November 2019 up to and including 31st of October 2020, (“the period”).

Responsibilities of the depositary The depositary acts as a depositary within the meaning of the UCITS Directive and provides its services in accordance with the UCITS Directive, the EU implementing regulation, applicable Dutch laws and regulations and the guidelines issued by the European Securities and Markets Authority and the Dutch Financial Markets Authority (the “regulations”). The responsibilities of the depositary have been described in the depositary agreement and include, in addition to the safekeeping, recordkeeping and ownership verification tasks, the following monitoring and oversight activities (which the depositary inherently performs): • Monitoring of cash flows, including the identification of significant and inconsistent cash flows and the reconciliation of cash flows with

the fund administration; • Ensure that the sale, issue, repurchase, redemption and cancellation of units effected on behalf of a common fund or by a management

company are carried out in accordance with the applicable national law and the fund rules; • Ensure that the value of units is calculated in accordance with the applicable national law and the fund rules; • Carry out the instructions of the management company, unless they conflict with the applicable national law or the fund rules; • Ensure that in transactions involving a common fund’s assets any consideration is remitted to it within the usual time limits; • Ensure that a common fund’s income is applied in accordance with the applicable national law and the fund rules. Statement of the Depositary The depositary has carried out such activities during the period as considered necessary to fulfil its responsibilities as deposi tary of the fund. The depositary is of the opinion that, based on the information made available and the explanations provided by the fund manager, in all material respects, the fund manager has carried out its activities which are in scope of the monitoring and oversight duties of the depositary, in accordance with the regulations and the fund documentation. Miscellaneous This statement does not create, and is not intended to create, any right for a person or an entity who are not a party to the depositary agreement. Amsterdam, 18 February 2021

1895 FONDS FGR

13

OTHER INFORMATION PURSUANT TO PART 9 OF BOOK 2 OF THE DUTCH CIVIL CODE Appropriation of results As described in the Entity’s prospectus, the terms and conditions empowers the Manager to declare dividends in respect of any Units out of net income (including dividend and interest income) and the excess of realised and unrealised capital gains over realised and unrealised losses in respect of investments of the Fund. The Manager intends to declare dividends on the Units of the Distributing Unit Classes of the relevant Sub-Funds out of net income (including dividend and interest income). The Manager will distribute capital gains if so required by applicable Dutch law and practice. Any dividend which is unclaimed for six years or more from the date of its declaration shall, at the discretion of the Manager, be forfeited and shall become the property of the relevant Sub-Fund. Distributing Unit Classes distribute semi-annually. Semi-annual dividends will normally be declared in November and May and/or such other times as the Manager deems appropriate with a view to the same being paid in December and June. Dividends will be paid by way of electronic transfer to the bank account detailed on the Application Form or as subsequently notified to the Manager in writing. Unitholders will receive dividends in proportion to the number of Units held by them in the relevant Unit Class. Directors’ interests In accordance with article 122 paragraph 2 of the Decree on Conduct of Business of Financial Institutions AFS (Besluit Gedragstoezicht financiële ondernemingen Wft), the Entity is required to list the total holdings in securities held by the Directors of the Manager in investments which are also held by the Funds as of the period end. As at 31 October 2020, the Directors of the Manager held shares in the following securities. There were no other holdings in securities by the Directors of the Manager in investments held by the Funds as at that date.

Investment name Shares held as at 31 October 2020

Abbott Laboratories

Air Liquide SA

Alibaba Group Holding Ltd

Alphabet Inc

Amazon.com Inc

Apple Inc

Barclays plc

CME Group Inc

Danaher Corp

Hexagon AB

JPMorgan Chase & Co

Lloyds Banking Group plc

LVMH Moet Hennessy Louis Vuitton SE

Merck & Co Inc

Microsoft Corp

Nestle SA

Siemens AG

Texas Instruments Inc

Visa Inc

Walmart Inc

59

41

15

7

3

35

2,166

28

35

50

95

100,000

18

75

45

57

30

50

40

55

1895 FONDS FGR

16

STATEMENT OF COMPREHENSIVE INCOME


1895 Wereld Aandelen Enhanced Index Fonds*

2020 EUR '000

1895 Wereld Multifactor Aandelen Fonds*

2020 EUR '000

1895 Euro Obligaties Index Fonds*

2020 EUR '000

1895 Wereld Bedrijfsobligaties Fonds*

2020 EUR '000

Note Operating income 6 76,345 36,364 773 2,050 Net gains/(losses) on financial instruments 8 (341,081) 270,268 26,027 (4,027)

Total investment income/(loss) (264,736) 306,632 26,800 (1,977)

Operating expenses 7 (2,756) (2,742) (406) (247)

Net operating income/(expenses) (267,492) 303,890 26,394 (2,224)

Finance costs: Other interest expense (86) (186) (15) –

Total finance costs (86) (186) (15) –

Taxation (433) (153) – –

Net profit/(loss) after taxation (268,011) 303,551 26,379 (2,224)

Increase/(decrease) in net assets attributable to redeemable unitholders (268,011) 303,551 26,379 (2,224)

* The Fund launched during the financial period, hence no comparative data is available. There are no recognised gains or losses arising in the financial period other than those dealt with in the statement of comprehensive income. All the amounts above arose from continuing operations. The accompanying notes form an integral part of these financial statements.

1895 FONDS FGR

17

STATEMENT OF CHANGES IN EQUITY



2020 EUR '000


2020 EUR '000


2020 EUR '000


2020 EUR '000

Note Net assets at beginning of the financial period – – – – Increase/(decrease) in net assets attributable to redeemable unitholders from operations (268,011) 303,551 26,379 (2,224) Unit transactions: Issue of redeemable units 6,344,400 4,300,098 1,094,893 1,538,874 Redemption of redeemable units (1,290,761) (319,030) (38,439) (14,353)

Increase/(decrease) in net assets resulting from unit transactions 5,053,639 3,981,068 1,056,454 1,524,521

Distributions to redeemable unitholders 9 (19,512) – – –

Net assets at the end of the financial period 14 4,766,116 4,284,619 1,082,833 1,522,297

* The Fund launched during the financial period, hence no comparative data is available. The accompanying notes form an integral part of these financial statements.

1895 FONDS FGR

18

STATEMENT OF FINANCIAL POSITION

As at 31 October 2020


2020 EUR '000


2020 EUR '000


2020 EUR '000


2020 EUR '000

Note CURRENT ASSETS Cash 2.2.6 82,666 202,623 7,676 40,224 Margin cash 2.2.7 – – – 178 Receivables 11 30,898 37,275 9,616 38,318 Financial assets at fair value through profit or loss 5 4,663,179 4,088,530 1,067,381 1,473,030

Total current assets 4,776,743 4,328,428 1,084,673 1,551,750

Equity Net asset value attributable to redeemable unitholders 14 4,766,116 4,284,619 1,082,833 1,522,297

Total equity 4,766,116 4,284,619 1,082,833 1,522,297

CURRENT LIABILITIES Cash collateral payable 2.2.7 – – – 1,639 Payables 12 6,793 36,657 1,840 10,312 Financial liabilities at fair value through profit or loss 5 3,834 7,152 – 17,502

Total current liabilities 10,627 43,809 1,840 29,453

Total equity and liabilities 4,776,743 4,328,428 1,084,673 1,551,750

* The Fund launched during the financial period, hence no comparative data is available. The accompanying notes form an integral part of these financial statements. On behalf of the Manager Director Director 18 February 2021 18 February 2021

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1895 FONDS FGR

19

STATEMENT OF CASH FLOWS



2020 EUR '000


2020 EUR '000


2020 EUR '000


2020 EUR '000

Note Cash flows from operating activities Increase/(decrease) in net assets attributable to redeemable unitholders from operations (268,011) 303,551 26,379 (2,224) Adjustments to reconcile net income to net cash (used in)/provided by operating activities: (Increase)/decrease in operating assets: Financial assets at fair value through profit or loss (4,663,179) (4,088,530) (1,067,381) (1,473,030) Cash collateral – – – 1,639 Margin cash – – – (178) Receivables (30,898) (37,275) (9,616) (38,318) Increase/(decrease) in operating liabilities: Financial liabilities at fair value through profit or loss 3,834 7,152 – 17,502 Payables 6,793 36,657 1,840 10,312

Net cash (used in)/provided by operating activities (4,951,461) (3,778,445) (1,048,778) (1,484,297)

Cash flow (used in)/provided by financing activities Proceeds from issue of redeemable units 6,344,400 4,300,098 1,094,893 1,538,874 Payments on redemption of redeemable units (1,290,761) (319,030) (38,439) (14,353) Distributions paid to redeemable unitholders (19,512) – – –

Net cash (used in)/provided by financing activities 5,034,127 3,981,068 1,056,454 1,524,521

Net increase/(decrease) in cash 82,666 202,623 7,676 40,224 Cash at bank, beginning of the financial period – – – –

Cash at bank, end of the financial period 82,666 202,623 7,676 40,224

Supplemental disclosures Cash received during the financial period for interest 230 2 – – Cash paid during the financial period for interest (86) (186) (15) – Cash received during the financial period for dividends 70,103 31,739 – – Cash received during the financial period for bond interest – – 773 2,047 Withholding tax paid (433) (153) – –

Net cash (used in)/provided by operating activities 69,814 31,402 758 2,047

*The Fund launched during the financial period, hence no comparative data is available.

1895 FONDS FGR

NOTES TO THE FINANCIAL STATEMENTS

20

1. General information

1895 Fonds FGR (the “Entity”) is a Dutch collective investment scheme registered on 19 November 2019. The Entity is authorised in The Netherlands by the Netherlands Authority for the Financial Markets (the "AFM") established under the laws of the Netherlands as an Undertaking for Collective Investment in Transferable Securities (UCITS) for the purposes of the provisions of the European Communities (Undertakings for Collective Investment in Transferable Securities Regulations (the "UCITS Regulations"). 2. Significant accounting policies

2.1 Basis of preparation

Statement of Compliance These financial statements have been prepared in accordance with Part 9 of Book 2 of the Dutch Civil Code, using article 362-8 to apply International Financial Reporting Standards as adopted by the European Union (IFRS), and the Act on Financial Supervision (Wet op het financieel toezicht) (the “AFS”). The Manager’s Report is prepared in accordance with Part 9 of Book 2 of the Dutch Civil Code and the AFS. The financial statements are prepared on a going concern basis under the historical cost convention, as modified by the revaluation of the financial assets and financial liabilities (including derivative financial instruments) at fair value through profit or loss. All amounts have been rounded to the nearest thousand, unless otherwise indicated. Standards and amendments to existing standards effective 19 November 2019 (date of registration) On 22 October 2018, the IASB issued ‘Definition of a Business (Amendments to IFRS 3)’ aimed at resolving the difficulties that arise when an entity determines whether it has acquired a business or a group of assets. The amendments are effective for business combinations for which the acquisition date is on or after 1 January 2020. On 31 October 2018, the IASB issued ‘Definition of Material (Amendments to IAS 1 and IAS 8)’ to clarify the definition of ‘material’ and to align the definition used in the Conceptual Framework and the standards themselves. On 26 September 2019, the IASB issued ‘Interest Rate Benchmark Reform (Amendments to IFRS 9, IAS 39 and IFRS 7)’ as a first reaction to the potential effects the IBOR reform could have on financial reporting. None of these have a material effect on the financial statements of the Entity. There are no other standards, interpretations or amendments to existing standards that are effective for the first time for the period beginning 19 November 2019 that have had a material impact on the financial statements of the Entity. New standards, amendments and interpretations effective after 19 November 2019 (date of registration) and have not been early adopted A number of new standards, amendments to standards and interpretations are effective for annual periods beginning after 19 November 2019 (date of registration), and have not been applied in preparing these financial statements. None of these are expected to have a material effect on the financial statements of the Entity. 2.2 Financial instruments 2.2.1 Classification The Entity classifies its investments in debt instruments, equity instruments and derivatives as financial assets or financial liabilities at fair value through profit or loss. These financial assets and financial liabilities are classified as held for trading or designated by the Directors at fair value through profit or loss at inception. All the derivative investments are held for trading purposes. All other financial assets and financial liabilities including cash, receivables and payables are classified at amortised cost using the effective interest method. 2.2.2 Recognition and derecognition The Entity recognises a financial asset or a financial liability when it becomes a party to the contractual provisions of the instrument. Purchases and sales of investments are recognised on the day the trade takes place. Realised gains and losses on disposals of financial instruments are calculated using the average cost method. For instruments held long, they represent the difference between the initial carrying amount and disposal amount. For instruments held short, they represent the difference between the proceeds received and the opening value. For derivative contracts, they represent the cash payments or receipts made on derivative contracts (excluding those on collateral or margin accounts for such instruments). Financial assets are derecognised when the rights to receive cash flows from the asset have expired or the risks and rewards of ownership have all been substantially transferred. Financial liabilities are derecognised when the obligation under the liability is discharged, cancelled or expired. 2.2.3 Measurement All financial instruments are initially recognised at fair value. Financial assets and financial liabilities at fair value through profit or loss are subsequently measured at fair value. Transaction costs on purchases or sales of investments and gains and losses arising from changes in the fair value of financial assets or financial liabilities at fair value through profit or loss are presented in the statement of comprehensive income within ‘Net gains/(losses) on financial instruments’, in the period in which they arise. Financial assets and financial liabilities, other than those classified as at fair value through profit or loss, are subsequently measured at amortised cost.

1895 FONDS FGR

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

21

2. Significant accounting policies (continued)

2.2 Financial instruments (continued)

2.2.4 Fair value estimation

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The estimation of fair value, after initial recognition, is determined as follows:

Investments in debt and equity instruments and exchange traded derivatives which are quoted, listed, traded or dealt on a market or exchange are valued based on quoted market prices which, for the purposes of the financial statements is in line with the valuation methodology prescribed in the Entity’s prospectus. Depending on the nature of the underlying investment, the value taken could be either at the closing price, closing mid-market price or bid price on the relevant market.

Investments in centrally cleared and over-the-counter (“OTC”) derivatives are valued using valuation techniques. In the case of an investment which is not quoted, listed or dealt on a recognised market, or in respect of which a listed, traded or dealt price or quotation is not available at the time of valuation, the fair value of such investment shall be estimated with care and in good faith by a competent professional person, body, firm or corporation (appointed for such purpose by the Directors in consultation with the Investment Manager and approved for the purpose by the Depositary), and such fair value shall be determined using valuation techniques. The Entity uses a variety of methods and makes assumptions that are based on market conditions existing at each reporting date. Valuation techniques used for non-standardised financial instruments such as OTC derivatives include those detailed in the fair value hierarchy note, and those used by market participants making the maximum use of market inputs and relying as little as possible on Entity-specific inputs. 2.2.5 Financial derivative and other specific instruments 2.2.5.1 Futures contracts A futures contract is a contract, traded on an exchange, to buy or sell a certain underlying instrument at a certain date in the future, at a specified price. Initial margin deposits are made to relevant brokers upon entering into futures contracts and are included in margin cash. 2.2.5.2 Forward currency contracts A forward currency contract is an agreement, in the OTC market, between two parties to buy or sell a certain underlying currency at a certain date in the future, at a specified price. 2.2.5.3 Swaps A swap is an individually negotiated agreement, in the OTC market, between two parties to swap one stream of payments for another. They may be entered into as a bilateral contract (“OTC swaps”) or centrally cleared (“centrally cleared swaps”). Upon entering into a centrally cleared swap, the Fund is required to deposit initial margin with the broker in the form of cash of an amount that varies depending on the size and risk profile of the underlying swap contract.

2.2.6 Cash

Cash in the statement of financial position includes cash deposits held on call with banks.

2.2.7 Collateral and margin cash

Cash collateral provided by a Fund is identified as an asset on the statement of financial position as ‘Cash collateral’ and is not included as a component of cash. For collateral other than cash provided by a Fund, if the party to whom the collateral is provided has the right by contract to sell or re-pledge the collateral, a Fund classifies that asset on its statement of financial position separately from other assets and identifies the asset as a pledged investment. Where the party to whom the collateral is provided does not have the right to sell or re-pledge, a disclosure of the collateral provided is made in the notes to the financial statements. Cash balances held as margin with relevant brokers relating to investments in derivatives at the reporting date are identified on the statement of financial position as margin cash. Cash collateral provided to a Fund by counterparties is identified on the statement of financial position as ‘Cash collateral payable’ and is held with Barclays, Citigroup and Morgan Stanley as at 31 October 2020. A Fund may reinvest this cash collateral and the assets purchased are included as ‘Cash equivalents’ on the statement of financial position.

2.2.8 Redeemable units Each Fund classifies redeemable units issued as financial liabilities or equity in accordance with the substance of the contractual terms of the instruments. Redeemable units are measured at the present value of redemption amounts. The Entity is contractually obliged to redeem units in accordance with the prospectus. In accordance with IAS 32.16A, “Financial Instruments: Presentation”, such units have been classified as equity at the value of the redemption amount in the statement of changes in equity.

http://en.wikipedia.org/wiki/Contract

http://en.wikipedia.org/wiki/Futures_exchange

http://en.wikipedia.org/wiki/Underlying

http://en.wikipedia.org/wiki/Financial_instrument

1895 FONDS FGR


22


2.2 Financial instruments (continued)

2.2.8 Redeemable units (continued) The redeemable units are accounted for on the day the trade takes place. Subscriptions and redemptions of redeemable units are accounted for on the day the trade transaction takes place. Units are subscribed and redeemed based upon the NAV per unit as of the latest valuation point, in accordance with the Prospectus.

Where duties and charges are applied in the context of a subscription or redemption, they will have an impact on the value of an investment of a subscribing or redeeming investor and as a result are reflected as part of the issue of redeemable units or the redemption of redeemable units in the statement of changes in equity. Any potential duties and charges are at the discretion of the Directors. 2.3 Foreign currency 2.3.1 Functional and presentation currency Foreign currency items included in each Fund’s financial statements are measured in each Funds functional currency which is shown for each Fund in the headings of the financial statements.

The Directors consider that these currencies most accurately represent the economic effects of the underlying transactions, events and conditions of each Fund. Each Fund's presentation currency is the same as the functional currency. 2.3.2 Transactions and balances Transactions in foreign currencies are translated into the functional currency of each Fund at the foreign currency exchange rate in effect at the date of the transaction. Foreign currency assets and liabilities, including investments, are translated at the exchange rate prevailing at the reporting date. The foreign exchange gain or loss based on the translation of the investments, as well as the gain or loss arising on the translation of other assets and liabilities, is included in the statement of comprehensive income. 2.4 Critical accounting estimates and judgements The preparation of the financial statements in conformity with IFRS requires the use of certain critical accounting estimates. It also requires the Directors to exercise their judgement in the process of applying the Entity’s accounting policies. Changes in assumptions may have a significant impact on the financial statements in the period the assumptions changed. The Directors believe that the underlying assumptions are appropriate and that the Entity’s financial statements, therefore, present the Entity’s financial position and its results fairly. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future years if the revision affects both current and future years. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed below. 2.4.1 Assumptions and estimation uncertainties 2.4.1.1 Fair value of OTC derivative financial instruments OTC financial derivative instruments (“FDIs”) are valued using valuation techniques, as detailed in the fair value hierarchy note to the financial statements. Where valuation techniques (for example, models) are used to determine fair values, they are validated and periodically reviewed and compared to the price provided by an independent pricing service provider, where available. 2.4.1.2 Fair value of financial instruments not quoted in an active market The fair value of such instruments not quoted in an active market may be determined by the Entity using reputable pricing sources or indicative prices from bond/debt market makers. The Entity would exercise judgement and estimates on the quantity and quality of pricing sources used. Broker quotes as obtained from the pricing sources may be indicative and not executable or binding. 2.4.2 Judgements 2.4.2.1 Assessment as investment entities The Directors are of the opinion that the Entity meets the definition of an investment fund. The following conditions exist:

a) The Entity has obtained funds for the purpose of providing investors with investment management services; and b) The investments held by the Entity are measures and evaluated on a fair value basis and information about those investments are

provided to unitholders on a fair value basis through the Entity. 2.5 Dividend income Dividend income is recognised in the statement of comprehensive income when a Fund's right to receive the payment is established. For quoted equity securities, this is usually the ex-dividend date. For unquoted equity securities, this is usually the date on which the unitholders approve the payment of a dividend. Dividend income is shown gross of any non-recoverable withholding taxes, which are presented separately in the statement of comprehensive income. ETF income is recognised when the distributions are declared by the underlying ETF. 2.6 Interest income and interest expense Interest income and interest expense for all interest-bearing financial instruments are recognised in the statement of comprehensive income using the effective interest method. 2.7 Fees and expenses Expenses are recognised in the statement of comprehensive income on an accruals basis except for transaction charges relating to the acquisition and realisation of investments which are charged for as incurred.

1895 FONDS FGR


23


2.8 Distributions Distributions are recognised in the statement of changes in equity. The Directors may declare distributions on the units of the class in respect of each financial period. Distributions may be paid out of a Fund net income. 2.9 Offsetting financial instruments Financial assets and liabilities are offset and the net amount reported in the statement of financial position when there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis, or realise the asset and settle the liability simultaneously. There were no amounts eligible for offsetting at 31 October 2020. 2.10 Allocation of results for the financial period Distributions declared and paid during the financial period are disclosed in note 9 of the financial statements. The results for the financial period are disclosed in the statement of comprehensive income and are included in the net assets attributable to redeemable unitholders. 2.11 Taxation 2.11.1 Current tax Current tax is recognised for the amount of income tax payable in respect of the overseas taxable profit for the current or past reporting periods using the tax rates and laws that have been enacted or substantively enacted by the reporting date. 3. Financial risks

The Fund’s investment activities expose them to the various types of risk which are associated with the financial instruments and markets in which it invests. The following information is not intended to be a comprehensive summary of all risks and investors should refer to the prospectus for a more detailed discussion of the risks inherent in investing in each Fund. 3.1 Risk management framework The Directors review quarterly investment performance reports and receive semi-annual presentations from the Investment Manager covering the Entity’s performance and risk profile during the financial period. The Directors have delegated the day-to-day administration of the investment programme to the Investment Manager. The Investment Manager is also responsible for ensuring that the Entity is managed within the terms of its investment guidelines and limits set out in the prospectus. The Directors reserve to themselves the investment performance, product risk monitoring and oversight and the responsibility for the monitoring and oversight of regulatory and operational risk for the Entity. The Directors have appointed a risk manager who has responsibility for the daily risk management process with assistance from key risk management personnel of the Investment Manager, including members of the BlackRock Risk and Quantitative Analysis Group (“RQA Group”) which is a centralised group which performs an independent risk management function. The RQA Group independently identifies, measures and monitors investment risk. The RQA Group tracks the actual risk management practices being deployed across each Fund. By breaking down the components of the process, the RQA Group has the ability to determine if the appropriate risk management processes are in place across each Fund. This captures the risk management tools employed, how the levels of risk are controlled, ensuring risk/return is considered in portfolio construction and reviewing outcomes. 3.2 Market risk Market risk arises mainly from uncertainty about future values of financial instruments influenced by currency, interest rate and price movements. It represents the potential loss each Fund may suffer through holding market positions in the face of market movements. The Funds are exposed to market risk by virtue of their investment in all securities and derivatives. A key metric used by the RQA Group to measure market risk is Value-at-Risk (“VaR”) which encompasses currency, interest rate and price risk. The RQA Group is a centralised group which performs an independent risk management function. The group independently identifies, measures and monitors investment risk. VaR is a statistical risk measure that estimates the potential portfolio loss from adverse market movements in an ordinary market environment. VaR analysis reflects the interdependencies between risk variables, unlike a traditional sensitivity analysis. The VaR calculations are based on an adjusted historical simulation model with a confidence level of 99%, a holding period of one day and a historical observation period of not less than one year (250 days). A VaR number is defined at a specified probability and a specified time horizon. A 99% one day VaR means that the expectation is that 99% of the time over a one-day period the Fund will lose no more than this number in percentage terms. Therefore, higher VaR numbers indicate higher risk. It is noted that the use of VaR methodology has limitations, namely that the use of historical market data as a basis for estimating future events does not encompass all possible scenarios, particularly those that are of an extreme nature and that the use of a specified confidence level (e.g. 99%) does not take into account losses that occur beyond this level. There is some probability that the loss could be greater than the VaR amounts. These limitations and the nature of the VaR measure mean that the Fund can neither guarantee that losses will not exceed the VaR amounts indicated, nor that losses in excess of the VaR amounts will not occur more frequently.

1895 FONDS FGR


24

3. Financial risks (continued)

3.2 Market risk (continued) The one-day VaR based on 99% confidence level is outlined in the table below: Fund Name

2020

%

1895 Wereld Aandelen Enhanced Index Fonds* 3.45%

1895 Wereld Multifactor Aandelen Fonds* 3.47%

1895 Euro Obligaties Index Fonds* 0.52%

1895 Wereld Bedrijfsobligaties Fonds* 0.65%

* The Fund launched during the financial period, hence no comparative data is available.

3.2.1 Market risk arising from foreign currency risk Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates.

Exposure to foreign currency risk Each Fund may invest in financial instruments denominated in currencies other than its functional currency. Consequently, each Fund is exposed, directly and/or indirectly, to risks that the exchange rate of its functional currency relative to other currencies may change in a manner which has an adverse effect on the value of the portion of each Fund’s assets which are denominated in currencies other than its own currency. The details of the open forward currency contracts in place to hedge foreign currency risk at the financial period end date are disclosed in note 19. The following tables set out each Funds exposure to foreign currency risk and the net exposure to foreign currencies as at 31 October 2020.

As at 31 October 2020 1895 Wereld Aandelen Enhanced Index Fonds*

Financial assets

EUR '000

Financial liabilities

EUR '000 Monetary USD 78,455 (2,524) Other Currencies** 36,076 (5,748)

Total 114,531 (8,272)

** Other Currencies includes a number of currencies, none of which is greater than 1% of the net assets of the Fund.

As at 31 October 2020 1895 Wereld Multifactor Aandelen Fonds*

Financial assets

EUR '000

Financial liabilities

EUR '000 Monetary USD 165,444 (30,266) Other Currencies** 73,853 (9,578)

Total 239,297 (39,844)

** Other Currencies includes a number of currencies, none of which is greater than 1% of the net assets of the Fund. 1895 Euro Obligaties Index Fonds* and 1895 Wereld Bedrijfsobligaties Fonds* had no significant net exposure to foreign currency risk as at 31 October 2020. *The Fund launched during the financial period, hence no comparative data is available. Management of foreign currency risk 1895 Wereld Bedrijfsobligaties Fonds engages in foreign currency hedging to minimise the effect of currency movements between the currencies of the investments held by the Fund and Euro.

The Investment Manager monitors foreign currency risk exposure against pre-determined tolerances and determines when a currency hedge should be reset and the gain or loss arising from such hedge reinvested or settled, while taking into consideration the frequency and associated transaction and reinvestment costs of resetting the currency hedge.

3.2.2 Market risk arising from interest rate risk Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates.

Exposure to interest rate risk Each Fund is exposed to interest rate risk through its cash holdings including margin cash held with brokers and through its investments in interest bearing financial instruments which are disclosed in note 19.

1895 FONDS FGR


25


3.2 Market risk (continued) 3.2.2 Market risk arising from interest rate risk (continued) Management of interest rate risk Interest rate risk exposure is managed by constantly monitoring the position for deviations outside of a pre-determined tolerance level and, when necessary, rebalancing back to the original desired parameters.

1895 Wereld Bedrijfsobligaties Fonds also has indirect exposure to interest rate risk through its investments into interest rate financial derivative instruments (”FDIs”), whereby the value of an underlying asset may fluctuate as a result of a change in interest rates.

3.2.3 Market risk arising from price risk Price risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer, or factors affecting similar financial instruments traded in the market. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issue, recessions, or other events could have a significant impact on the Funds and the market price of their investments. An outbreak of an infectious respiratory illness caused by a novel coronavirus known as COVID-19 was first detected in China in December 2019 and has now developed into a global pandemic. This coronavirus has resulted in travel restrictions, closed international borders, enhanced health screenings at ports of entry and elsewhere, disruption of and delays in healthcare service preparation and delivery, prolonged quarantines, cancellations, supply chain disruptions, and lower consumer demand, as well as general concern and uncertainty. The impact of COVID-19 has adversely affected the economies of many nations across the entire global economy, individual issuers and capital markets, and could continue to extents that cannot necessarily be foreseen. In addition, the impact of infectious illnesses in emerging market countries may be greater due to generally less established healthcare systems. Public health crises caused by the COVID-19 outbreak may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty. Exposure to price risk Each Fund is exposed to price risk arising from its investments in financial instruments. The exposure of each Fund to price risk is the fair value of the investments held as shown in note 19. Management of price risk By diversifying the portfolio, where this is appropriate and consistent with each Fund’s objectives, the risk that a price change of a particular investment will have a material impact on the NAV of each Fund is minimised. There is a risk that the valuation of each Fund may not fairly reflect the value of the investments held at a specific time due to events outside the control of the Directors, which could result in significant losses or inaccurate pricing for each Fund. To mitigate this risk the Directors may temporarily suspend the determination of the NAV of any Fund until a fair or reasonable valuation of the investments held can be determined.

3.3 Liquidity risk Liquidity risk is the risk that each Fund will encounter difficulties in meeting obligations associated with financial liabilities.

Exposure to liquidity risk Each Fund’s principal liquidity risks arise from the ability of investors to effect redemption requests and the liquidity of the underlying investments each Fund has invested in. Each Fund’s unitholders may redeem their units on the close of any daily dealing deadline for cash equal to a proportionate share of each Fund’s NAV, excluding any duties and charges where applicable. Each Fund is therefore potentially exposed to the liquidity risk of meeting the unitholders’ redemptions and may need to sell assets at prevailing market prices to meet liquidity demands. Each Fund may invest in collective investment scheme ("CIS") which can impose notice periods or other restrictions on redemptions and this may increase the liquidity risk of each Fund. Each Fund is also exposed to liquidity risk associated with daily margin calls on FDIs. All of the Entity’s financial liabilities, based on contractual maturities, fall due within three months. Management of liquidity risk Liquidity risk is minimised by holding sufficient liquid investments which can be readily realised to meet liquidity demands. Asset disposals may also be required to meet redemption requests. However, timely sale of trading positions can be impaired by many factors including trading volume and increased price volatility. As a result, each Fund may experience difficulties in disposing of assets to satisfy liquidity demands. Each Fund’s liquidity risk is managed by the Investment Manager in accordance with established policies and procedures in place. The portfolio managers review daily forward-looking cash reports which project cash obligations. These reports allow them to manage their cash obligations. If redemption requests from all holders of units in a Fund exceed more than 10% of the NAV of each Fund on any particular dealing day, the Directors shall be entitled, at their discretion, to refuse to redeem such excess numbers of units in issue from each Fund. The units which are not redeemed at any given dealing day shall be redeemed on each subsequent dealing day on a pro-rata basis in priority to any requests received thereafter. None of the assets of the Funds are subject to special liquidity arrangements.

1895 FONDS FGR


26


3.4 Counterparty credit risk Counterparty credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. Exposure to counterparty credit risk Each Fund is exposed to counterparty credit risk from the parties with which it trades and will bear the risk of settlement default. Each Fund’s exposure is limited to the contracts in which it currently has a financial asset position reduced by any collateral received from the counterparty, or to counterparties who have received collateral from each Fund. The carrying value of financial assets together with cash held with counterparties best represents each Fund’s gross maximum exposure to counterparty credit risk at the reporting date, before including the effect of any International Swaps and Derivatives Associations, Inc. Master Agreement (“ISDA Master Agreement”) or similar agreement, and netting, which would reduce the overall counterparty credit risk exposure. Each Fund only transacts with counterparties that are regulated entities subject to prudential supervision, or with high credit-ratings assigned by international credit-rating agencies. Cash held as security by the counterparty to FDI contracts is subject to the credit risk of the counterparty. All transactions in listed securities are settled/paid for upon delivery of securities, using approved brokers. Risk relating to unsettled transactions is considered low due to the short settlement period involved and the high credit quality of the brokers used.

Management of counterparty credit risk Counterparty credit risk is monitored and managed by BlackRock’s RQA Counterparty & Concentration Risk Team. The team is headed by BlackRock’s Chief Counterparty Credit Officer who reports to the Global Head of RQA. Credit authority resides with the Chief Counterparty. Credit Officer and selected team members to whom specific credit authority has been delegated. As such, counterparty approvals may be granted by the Chief Counterparty Credit Officer, or by identified RQA Credit Risk Officers who have been formally delegated authority by the Chief Counterparty Credit Officer. The BlackRock RQA Counterparty & Concentration Risk Team completes a formal review of each new counterparty, monitors and reviews all approved counterparties on an ongoing basis and maintains an active oversight of counterparty exposures and the collateral management process. There were no past due or impaired balances in relation to transactions with counterparties as at 31 October 2020.

3.4.1 FDIs Each Fund’s holdings in exchange traded, centrally cleared and OTC FDIs expose a Fund to counterparty credit risk.

3.4.1.1 Exchange traded and centrally cleared FDIs The exposure is limited by trading contracts through a clearing house. Each Fund’s exposure to credit risk on contracts in which it currently has a gain position is reduced by such gains received in cash from the counterparty under the daily mark-to-market mechanism on exchange traded contracts and centrally cleared swaps (variation margin). Each Fund’s exposure to credit risk on contracts in which it currently has a loss position is equal to the amount of margin posted to the counterparty which has not been transferred to the exchange under the daily mark-to-market mechanism.

3.4.1.2 OTC FDIs The risk in relation to OTC FDIs arises from the failure of the counterparty to perform according to the terms of the contract as these FDI transactions are traded bilaterally and not through a central clearing counterparty. All OTC FDI transactions are entered into by each Fund under an ISDA Master Agreement or similar agreement. An ISDA Master Agreement is a bilateral agreement between each Fund and a counterparty that governs OTC FDI transactions entered into by the parties. The parties’ exposures under the ISDA Master Agreement are netted and collateralised together, therefore, any collateral disclosures provided are in respect of all OTC FDI transactions entered into by each Fund under the ISDA Master Agreement. All cash collateral received/posted by each Fund under the ISDA Master Agreement is transferred bilaterally under a title transfer arrangement. Each legal title-holder of a Fund is the legal owner of inbound collateral and can sell the assets and withhold the cash in the case of default. If the counterparty fulfils its obligations in relation to the investment, each Fund will return an equal amount of cash to the counterparty on maturity or sale of the investment. When each Fund return securities collateral to the counterparty, it must be of the same type, nominal value, description and amount as the securities that were transferred to each Fund. Trading in OTC FDIs which have not been collateralised give rise to counterparty exposure. Each Fund's maximum exposure to counterparty credit risk from holding forward currency contracts will be equal to the notional amount of the currency contract and any net unrealised gains as disclosed in note 19. Forward currency contracts do not require variation margins and the counterparty credit risk is monitored through the BlackRock RQA Counterparty & Concentration Risk Team who monitor the creditworthiness of the counterparty. Each Fund has the right to reinvest cash collateral received. Inbound cash collateral received by each Fund is reflected on the statement of financial position as cash collateral payable.

1895 FONDS FGR


27


3.4 Counterparty credit risk (continued)

3.4.2 Depositary The majority of the investments are held by the Depositary at the financial period end. Investments are segregated from the assets of the Depositary, with ownership rights remaining with each Fund. Bankruptcy or insolvency of the Depositary may cause the Funds' rights with respect to its investments held by the Depositary to be delayed or limited. The maximum exposure to this risk is the amount of long investments disclosed in note 19, plus any unsettled trades. Substantially all of the cash of each Fund is held with the Depositary. To mitigate each Fund’s exposure to the Depositary, the Investment Manager employs specific procedures to ensure that the Depositary is a reputable institution and that the counterparty credit risk is acceptable to each Fund. Each Fund only transacts with Depositary’s that are regulated entities subject to prudential supervision, or with "high credit ratings" assigned by international credit rating agencies. The long-term credit rating of the parent company of the Depositary as at 31 October 2020 is AA- (Standard & Poor’s rating). In order to further mitigate each Fund’s counterparty credit risk exposure to the Depositary, each Fund may enter into additional arrangements such as the placing of residual cash in a money market fund. 3.4.3 Issuer credit risk relating to debt instruments Issuer credit risk is the default risk of one of the issuers of any debt instruments held by each Fund. Debt instruments involve credit risk to the issuer which may be evidenced by the issuer’s credit rating. Securities which are subordinated and/or have a lower credit rat ing are generally considered to have a higher credit risk and a greater possibility of default than more highly rated. Two of the Funds invest into sovereign debt and corporate debt which expose them to the default risk of the issuer with regards to interest or principal payments. The credit rating for all debt securities held was investment grade. To manage this risk, the Investment Manager, where appropriate and consistent with each Fund’s objectives, invests in a wide range of debt instruments. The ratings of debt instruments are continually monitored by the BlackRock Portfolio Management Group (“PMG”) and for non-rated or securities with subordinated or lower credit ratings, additional specific procedures are employed to ensure the associated credit risk is acceptable to each Fund.

4. Global exposure The Directors are required by regulation to employ a risk management process, which enables them to accurately monitor and manage the global exposure from FDIs which each Fund gains as a result of its strategy (“global exposure”). The Directors use one of two methodologies, the “commitment approach” or the “value-at-risk approach” (“VaR”), in order to measure the global exposure of each Fund and manage the potential loss to them due to market risk. Commitment approach The commitment approach is a methodology that aggregates the underlying market or notional value of FDI to determine the global exposure of each Fund to FDI. Pursuant to the relevant regulations, global exposure for a Fund utilising the commitment approach must not exceed 100% of the Fund’s NAV. VaR approach Please refer to note 3.2 for further details on the measure of VaR. The Directors use Relative VaR to monitor and manage the global exposure of 1895 Wereld Bedrijfsobligaties Fonds. For Relative VaR, the VaR of the respective Fund’s portfolio will not exceed twice the VaR of the reference portfolio. Where a VaR calculation is performed using a horizon other than the one-month regulatory limit, this 20% limit shall be rescaled to reflect the appropriate risk horizon period as directed by the relevant regulatory guidelines. Utilisation refers to the level of risk taken in this context. The table below details the highest, lowest and average utilisation of the VaR limit, expressed as a percentage of the respective Relative VaR regulatory limit.

Fund

Global exposure approach

Reference portfolio

Highest utilisation of

the VaR limit %

Lowest utilisation of

the VaR limit %

Average utilisation of

the VaR limit %


Relative VaR

Bloomberg Barclays Global Aggregate Corporate Index EUR (Hedged)

57.03% 50.72% 52.23%


1895 FONDS FGR


28

4. Global exposure (continued) Leverage The use of FDIs may expose a Fund to a higher degree of risk. In particular, FDI contracts can be highly volatile, and the amount of initial margin is generally small relative to the size of the contract so that transactions may be leveraged in terms of market exposure. A relatively small market movement may have a potentially larger impact on FDIs than on standard bonds or equities. Leveraged FDI positions can therefore increase a Fund’s volatility. Pursuant to its regulatory obligations, the Directors are required to express the level of leverage employed in a Fund where VaR is being used to measure global exposure. For the purposes of this disclosure, leverage is the investment exposure gained through the use of FDIs. It is calculated using the sum of the notional values of all the FDI held by the relevant Fund, without netting, and is expressed as a percentage of the NAV.

Disclosed in the table below is the level of leverage employed by each relevant Fund during the financial period ended 31 October 2020.

Fund % Average leverage

employed

1895 Wereld Bedrijfsobligaties Fonds* 106.95%


5. Fair value hierarchy

IFRS 13 requires the Funds to classify financial instruments using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. The fair value hierarchy has the following categories: Level 1: The unadjusted quoted price in an active market for identical assets or liabilities that the Fund can access at the measurement date. Level 2: Inputs other than quoted prices included within Level 1 that are observable (i.e. developed using market data) for the asset or liability, either directly or indirectly. This category includes instruments valued using: quoted prices in active markets for similar instruments; quoted prices for similar instruments in markets that are considered less than active; or other valuation techniques where all significant inputs are directly or indirectly observable from market data. Level 3: Inputs are unobservable (i.e. for which market data is unavailable) for the asset or liability. This category includes all instruments where the valuation techniques used include inputs not based on market data and these inputs could have a signif icant impact on the instrument’s valuation. This category also includes instruments that are valued based on quoted prices for similar instruments where significant Entity determined adjustments or assumptions are required to reflect differences between the instruments and instruments for which there is no active market. Specific valuation techniques used to value financial instruments include:

(i) the use of quoted market prices or dealer quotes for similar instruments;

(ii) for interest rate swaps, the present value of the estimated future cash flows based on observable yield curves;

(iii) for foreign currency forwards, present value of future cash flows based on the forward exchange rates at the statement of financial

position date;

(iv) for other financial instruments, discounted cash flow analysis.

All of the resulting fair value estimates are included in level 2 except for unlisted equity securities, a contingent consideration receivable and certain derivative contracts, where the fair values have been determined based on present values and the discount rates used were adjusted for counterparty or own credit risk. The level in the fair value hierarchy within which the fair value measurement is categorised in its entirety is determined on the basis of the lowest level input that is significant to the fair value measurement in its entirety. For this purpose, the significance of an input is assessed against the fair value measurement in its entirety. If a fair value measurement uses observable inputs that require significant adjustment based on unobservable inputs, that measurement is a level 3 measurement. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgement, considering factors specific to the asset or liability. The determination of what constitutes ‘observable’ inputs requires significant judgement. The Directors consider observable inputs to be market data that is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market.

1895 FONDS FGR


29

5. Fair value hierarchy (continued)

The following tables provide an analysis of each Fund’s financial assets and financial liabilities measured at fair value as at 31 October 2020: 31 October 2020

1895 Wereld Aandelen Enhanced Index Fonds* Level 1

EUR '000 Level 2

EUR '000 Level 3

EUR '000 Total

EUR '000 Financial assets at fair value through profit or loss: Equity securities 4,663,179 – – 4,663,179

Total 4,663,179 – – 4,663,179

Financial liabilities at fair value through profit or loss: Futures contracts (3,834) – – (3,834)

Total (3,834) – – (3,834)

31 October 2020

1895 Wereld Multifactor Aandelen Fonds* Level 1

EUR '000 Level 2

EUR '000 Level 3

EUR '000 Total

EUR '000 Financial assets at fair value through profit or loss: Equity securities 4,088,530 – – 4,088,530

Total 4,088,530 – – 4,088,530

Financial liabilities at fair value through profit or loss: Futures contracts (7,152) – – (7,152)

Total (7,152) – – (7,152)

31 October 2020

1895 Euro Obligaties Index Fonds* Level 1

EUR '000 Level 2

EUR '000 Level 3

EUR '000 Total

EUR '000 Financial assets at fair value through profit or loss: Bonds 292,512 774,869 – 1,067,381

Total 292,512 774,869 – 1,067,381

31 October 2020

1895 Wereld Bedrijfsobligaties Fonds* Level 1

EUR '000 Level 2

EUR '000 Level 3

EUR '000 Total

EUR '000 Financial assets at fair value through profit or loss: Bonds 8,952 1,459,591 – 1,468,543 Futures contracts 541 – – 541 Forward currency contracts – 3,676 – 3,676 Interest rate swaps – 270 – 270

Total 9,493 1,463,537 – 1,473,030

Financial liabilities at fair value through profit or loss: Futures contracts (3,781) – – (3,781) Forward currency contracts – (13,721) – (13,721)

Total (3,781) (13,721) – (17,502)


6. Operating income

For the financial period ended 31 October 2020


2020 EUR '000


2020 EUR '000


2020 EUR '000


2020 EUR '000

Dividend income 76,115 36,362 – – Bond Interest Income – – 773 2,047 Swap Interest Income – – – 3 Interest income on cash 230 2 – –

Total 76,345 36,364 773 2,050


1895 FONDS FGR


30

7. Operating expenses

For the financial period ended 31 October 2020


2020 EUR '000


2020 EUR '000


2020 EUR '000


2020 EUR '000

Management fees (1,819) (2,211) (268) (195) Administration fees (376) (192) (34) (13) Depositary fees (354) (202) (58) (20) Audit fees (12) (8) (5) (1) Establishment costs (5) (4) (3) (1) Directors' fees (4) (3) (2) – Other operating expenses (186) (122) (36) (17)

Total (2,756) (2,742) (406) (247)


The Manager is entitled to charge a fee calculated as a percentage per annum of the NAV of each Fund or relevant unit class as set out in the “Table of Fees and Expenses”. The Manager will be responsible for discharging, from this fee, all fees (including reasonable out of pocket expenses) of the Investment Manager. The fee will be accrued on a daily basis and will be paid monthly in arrears. The Investment Manager will arrange for the fees and expenses of any Sub-Investment Manager to be paid out of the Manager’s fees or the Investment Manager’s fees. Any amounts in excess of the maximum fee rate are waived. Table of fees and expenses

Fund

Unit class Management Fee

1895 Wereld Aandelen Enhanced Index Fonds* Class D

up to 0.15%

1895 Wereld Multifactor Aandelen Fonds* Class D

up to 0.15%

1895 Euro Obligaties Index Fonds* Class D

up to 0.15%

1895 Wereld Bedrijfsobligaties Fonds* Class D

up to 0.20%

* The Fund launched during the financial period, hence no comparative data is available. Administration fees The Administrator is entitled to charge a pro rata scaled fee paid out of the property of each Fund calculated as a percentage per annum of the NAV of the Fund in line with the following thresholds:

0.00828% of NAV up to EUR5billion (“bn”) assets under management (“AUM”);

0.00736% of NAV from EUR5bn up to EUR10bn AUM;

0.00644% of NAV from EUR10bn up to EUR50bn AUM; and

0.00552% of NAV over EUR50bn AUM.

Depositary fees The Depositary is entitled to charge a pro rata scaled fee paid out of the property of each Fund calculated as a percentage per annum of the NAV of the Fund in line with the following thresholds:

0.005% of NAV up to EUR10bn AUM;

0.004% of NAV from EUR10bn up to EUR50bn AUM; and

0.0035% of NAV over EUR50bn AUM.

1895 FONDS FGR


31

7. Operating expenses (continued) Ongoing Charges Figure The ongoing charges figure ("OCF") is calculated as the total of all expenses (excluding bank interest, negative yield expense on financial assets and expense reimbursements), divided by the average net assets value (total sum of available NAVs divided by number of NAVs) of the Fund, expressed as a percentage. All data is annualised. The OCFs for the financial period from the Funds launch date to 31 October 2020 are as follows:

Fund

Unit class OCF

1895 Wereld Aandelen Enhanced Index Fonds * Class D 0.0820% 1895 Wereld Multifactor Aandelen Fonds* Class D 0.1440% 1895 Euro Obligaties Index Fonds* Class D 0.1093% 1895 Wereld Bedrijfsobligaties Fonds* Class D 0.1932%


Transaction costs Disclosed in the table below are separately identifiable transaction costs incurred by each Fund for the financial period ended 31 October 2020. These include all brokers’ commission, settlement fees, stamp duties and broker fees charges on equities, exchange traded futures contracts and certain debt instruments.

Fund CCY Value

EUR ‘000

1895 Wereld Aandelen Enhanced Index Fonds* EUR 3,249

1895 Wereld Multifactor Aandelen Fonds* EUR 2,727

1895 Euro Obligaties Index Fonds* EUR –

1895 Wereld Bedrijfsobligaties Fonds* EUR –

* The Fund launched during the financial period, hence no comparative data is available. Not all transaction costs are separately identifiable. For certain debt instruments, transaction costs will be included in the purchase and sales price of the investment and are not separately disclosed. 8. Net gains/(losses) on financial instruments For the financial period ended 31 October 2020

1895 Wereld Aandelen

Enhanced Index Fonds*

2020 EUR '000

1895 Wereld Multifactor

Aandelen Fonds* 2020

EUR '000

1895 Euro Obligaties Index

Fonds* 2020

EUR '000

1895 Wereld Bedrijfsobligaties

Fonds* 2020

EUR '000 Net realised (losses)/gains on investments (151,405) 81,403 (37) (584) Net realised (losses)/gains on derivatives (21,547) 36,027 – 4,688 Net realised losses on foreign currency (7,102) (5,024) – (222) Net change in unrealised (losses)/gains on investments (157,990) 163,171 26,064 4,044 Net change in unrealised losses on derivatives (3,813) (7,101) – (12,065) Net change in unrealised gains on foreign currency 776 1,792 – 112

Total (341,081) 270,268 26,027 (4,027)


1895 FONDS FGR


32

9. Distributions to redeemable unitholders The Funds may declare and pay dividends on any distributing class of units in a Fund. In accordance with the prospectus, any dividend which has remained unclaimed for six years from the date of its declaration shall be forfeited and cease to remain owing by a Fund to investors and become the property of the relevant Fund. Distributions declared during the financial period were as follows:




Aandelen Fonds*

1895 Euro Obligaties

Index Fonds*


Fonds*

2020 2020 2020 2020

Distributions declared EUR '000 EUR '000 EUR '000 EUR '000

June 2020 19,512 – – –

Total 19,512 – – – * The Fund launched during the financial period, hence no comparative data is available.

10. Taxation

The Entity is an open-ended umbrella fund for joint account (fonds voor gemene rekening) within the meaning of article 2(3) of the Corporate Income Tax Act 1969 (Wet vennootschapsbelasting 1969) and has the status of a Fiscal Investment Institution (FII) within the meaning of article 28 of the Corporate Income Tax Act 1969. As such, the Funds are subject to a Dutch corporate income tax rate of 0%. To qualify for and to maintain FII status, the Funds must, amongst other requirements, distribute their net income as dividends to their investors within eight months following the end of the financial year. If certain conditions are met, the Funds may opt to form a reinvestment reserve. In that case, the positive or negative balance of the Funds’ unrealised capital gains on securities are added to, or charged against this reserve. The amounts added to, or charged against, the reinvestment reserve do not form part of the income of the Funds that need to be distributed within eight months following the end of the financial year. Any unrealised capital gains will not form part of distributable income. Dividend distributions made by Netherlands resident entities to the Funds may be subject to the 15% Dutch dividend withholding tax. In addition, withholding tax may be withheld on proceeds derived by the Funds from foreign investments, both on dividends as well as on interest payments made to the Funds. Under the Dutch Dividend Withholding Tax Act 1965 (Wet op de dividendbelasting 1965), dividends distributed by the Funds are in principle subject to a 15% dividend withholding tax. The Funds are required to remit to the Dutch tax authorities the 15% dividend withholding tax that they have withheld on dividend payments. However, insofar as the FGR qualifies as a FII; the Funds are entitled to the so-called tax rebate (afdrachtsvermindering) of article 11a Dividend Withholding Tax Act 1965. As a result of the tax rebate the amount of dividend withholding tax that the Funds are required to remit to the Dutch tax authorities is reduced, if the Funds themselves have received dividends and interest that have been subject to a Dutch or foreign withholding tax.

11. Receivables




2020 EUR '000



EUR '000


Fonds* 2020

EUR '000


Fonds* 2020

EUR '000 Dividend income receivable 6,012 4,623 – – Bond interest income receivable – – 6,331 10,962 Other receivables 72 484 44 120 Dutch withholding tax receivable within one year 6,961 4,337 3 77 Management fees 46 69 – – Sale of securities waiting settlement 56 101 – 15,298 Swap interest receivable – – – 17 Subscription of units awaiting settlement 17,751 27,661 3,238 11,844

Total 30,898 37,275 9,616 38,318


1895 FONDS FGR


33

12. Payables




2020 EUR '000



EUR '000


Fonds* 2020

EUR '000


Fonds* 2020

EUR '000 Purchase of securities awaiting settlement – 30,401 598 8,727 Redemption of units awaiting settlement 5,359 3,876 877 1,218 Management fees payable 545 1,875 228 315 Administration fees payable 328 167 34 13 Depositary fees payable 354 202 58 20 Audit fees payable 12 8 5 1 Directors fees payable 4 3 2 – Other payables 191 125 38 18

Total 6,793 36,657 1,840 10,312

* The Fund launched during the financial period, hence no comparative data is available. 13. Units Outstanding

Redeemable units in which each Fund is divided, give each unit-holder a right to a proportionate part of the Fund.

Voting rights The holders of the redeemable units shall, on a poll, be entitled to one vote per unit.

Unit transactions during the financial period ended 31 October 2020 were as follows:

2020 1895 Wereld Aandelen Enhanced Index Fonds* Class D '000 units Opening balance at the beginning of financial period – Units issued during the financial period 66,032 Units redeemed during the financial period (14,679) Closing balance at end of financial period 51,353

2020 1895 Wereld Multifactor Aandelen Fonds* Class D '000 units Opening balance at the beginning of financial period – Units issued during the financial period 41,254 Units redeemed during the financial period (2,905) Closing balance at end of financial period 38,349

1895 FONDS FGR


34

13. Units Outstanding (continued)

2020 1895 Euro Obligaties Index Fonds* Class D '000 units Opening balance at the beginning of financial period – Units issued during the financial period 10,907 Units redeemed during the financial period (378) Closing balance at end of financial period 10,529

2020 1895 Wereld Bedrijfsobligaties Fonds* Class D '000 units Opening balance at the beginning of financial period – Units issued during the financial period 15,475 Units redeemed during the financial period (144) Closing balance at end of financial period 15,331

14. Net asset value attributable to redeemable unitholders


2020 1895 Wereld Aandelen Enhanced Index Fonds* Class D Net asset value EUR '000 4,766,116 Units in issue '000 units 51,353 Net asset value per unit EUR 92.81 1895 Wereld Multifactor Aandelen Fonds* Class D Net asset value EUR '000 4,284,619 Units in issue '000 units 38,349 Net asset value per unit EUR 111.73 1895 Euro Obligaties Index Fonds* Class D Net asset value EUR '000 1,082,833 Units in issue '000 units 10,529 Net asset value per unit EUR 102.84 1895 Wereld Bedrijfsobligaties Fonds* Class D Net asset value EUR '000 1,522,297 Units in issue '000 units 15,331 Net asset value per unit EUR 99.30


1895 FONDS FGR


35

15. Exchange rates

The rates of exchange ruling at 31 October 2020 were:

31 October 2020 2929

EUR AED 0.2337

AUD 0.6029

BRL 0.1489

CAD 0.6438

CHF 0.9366

CLP 0.0011

CNY 0.1281

COP 0.0002

CZK 0.0367

DKK 0.1343

GBP 1.1100

HKD 0.1107

HUF 0.0027

IDR 0.0001

ILS 0.2520

JPY 0.0082

KRW 0.0008

MXN 0.0403

MYR 0.2066

NOK 0.0898

NZD 0.5674

PHP 0.0177

PKR 0.0054

PLN 0.2166

RUB 0.0108

SEK 0.0964

SGD 0.6287

THB 0.0275

TRY 0.1024

TWD 0.0300

USD 0.8585

ZAR 0.0528

16. Related party transactions

Parties are considered to be related if one party has the ability to control the other party or is able to exercise significant influence over the other party, in making financial or operational decisions. The following entities were related parties to the Entity during the financial period ended 31 October 2020:

Board of Directors of the Entity

Manager: BlackRock Asset Management Ireland Limited

Investment Manager and Principal Distributor: BlackRock Investment Management (UK) Limited

Legal Titleholder: 1895 Fonds Stichting 1

Sub-Distributor: Coöperatieve Rabobank U.A.

1895 FONDS FGR


36

16. Related party transactions (continued)

The ultimate holding company of the Manager, Investment Manager and Prinicpal Distributor is BlackRock, Inc. a company incorporated in Delaware USA. During the period PNC Financial Services Group, Inc. (“PNC”), was a substantial shareholder in BlackRock, Inc. PNC did not provide any services to the Entity during the financial period ended 31 October 2020. The Fund's paid the following fees to BlackRock, Inc during the financial period for use of it's Aladdin platform. These transactions were carried out at arm’s length in the ordinary course of business. These fees are included within other operating expenses as disclosed in note 7.


2020 EUR '000


2020 EUR '000


2020 EUR '000


2020 EUR '000

Aladdin Fee 90 42 7 2

* The Fund launched during the financial period, hence no comparative data is available. Fees paid to the Manager and Investment Manager (including performance fees) during the financial period, the nature of these transactions and the balances outstanding at the financial period end are disclosed in note 7 and in note 12 respectively. The non-executive Directors as at 31 October 2020 are presented in the table below:

Director Employee of the BlackRock Group Director of BlackRock affiliates and/or other funds managed by BlackRock

William Roberts No Yes

Patrick Boylan Yes Yes

Paul Freeman No Yes

Justin Mealy Yes Yes

Barry O’Dwyer Yes Yes

Adele Spillane Yes Yes

Catherine Woods No Yes

Directors fees are disclosed in the operating expenses note to the financial statements. The aggregate emolument of the Directors relate to services provided as directors. The Directors who are also employees of the BlackRock Group are not entitled to receive Direc tors’ fees.

Holdings in other funds managed by BlackRock As at 31 October 2020, the Funds did not hold any investments in funds managed by BlackRock, Inc. or BlackRock affiliates. All related party transactions were carried out at arm’s length in the ordinary course of business. The terms and returns received by the related parties in making the investments were no more favourable than those received by other investors investing into the same unit classes. Significant holdings The following investor is: a. funds managed by the BlackRock Group or are affiliates of BlackRock, Inc. (“Related BlackRock Funds”) or b. investors (other than those listed in (a) above) who held 51% or more of the voting units in issue in the Entity and are as a result,

considered to be related parties to the Entity (“Significant Investors”).

Fund/Investor name

Total % of units held by Related BlackRock

Funds

Total % of units held by Significant Investors who

are not affiliates of BlackRock Group or

BlackRock, Inc.

Number of Significant Investors who are not

affiliates of BlackRock Group or BlackRock, Inc

1895 Wereld Aandelen Enhanced Index Fonds*/Coöperatieve Rabobank U.A.

0% 100% 1

1895 Wereld Multifactor Aandelen Fonds*/Coöperatieve Rabobank U.A.

0% 100% 1

1895 Euro Obligaties Index Fonds*/Coöperatieve Rabobank U.A.

0% 100% 1

1895 Wereld Bedrijfsobligaties Fonds*/Coöperatieve Rabobank U.A.

0% 100% 1


1895 FONDS FGR


37

16. Related party transactions (continued)

Significant holdings (continued) The following investments held by the Funds are considered related parties:

Fund name Investment name Market Value

EUR ‘000 1895 Euro Obligaties Index Fonds* Coöperatieve Rabobank U.A. 2,899 1895 Wereld Bedrijfsobligaties Fonds* Coöperatieve Rabobank U.A. 13,534

* The Fund launched during the financial period, hence no comparative data is available. During the period ended 31 October 2020, The Bank of New York Mellon (Institutional Bank), an affiliate to the Depositary, acted in custody foreign exchange transactions for the Funds. All transactions with the affiliate were conducted on market based-terms and the total value of those transactions are disclosed in the following table: Fund name Payable Amount Receivable Amount EUR’000 EUR’000 1895 Wereld Aandelen Enhanced Index Fonds* (7,832,542) 7,565,219 1895 Wereld Multifactor Aandelen Fonds* (5,057,229) 4,907,764 1895 Wereld Bedrijfsobligaties Fonds* (3,648,876) 3,648,398

Total (16,538,647) 16,121,381


17. Commitments and contingent liabilities

There were no significant commitments or contingent liabilities at the financial period ended 31 October 2020.

18. Statutory information The following fees were included within audit fees for the financial period ended 31 October 2020:

2020

EUR '000

Audit fee (including expenses) relating to the audit of the annual financial statements 32

Non-audit fees 35

There were no other assurance, tax, advisory or non-audit fees other than the audit fees disclosed above paid to Ernst & Young Accountants LLP Amsterdam, in the Netherlands as the Statutory Auditor of the Entity as no other services were provided.

1895 FONDS FGR


38

19. Investments in securities and derivatives

1895 Wereld Aandelen Enhanced Index Fonds* Futures Contracts As at 31 October 2020

Expiration Number of Underlying

Exposure Unrealised

loss % of Description Currency date Contracts EUR’000 EUR’000 net assets S&P/TSX 60 Index CAD 17/12/2020 27 3,217 (132) (0.00) MSCI Emerging Market Index USD 18/12/2020 246 11,635 (161) (0.00) TOPIX Index JPY 10/12/2020 53 6,846 (254) (0.01) FTSE 100 Index GBP 18/12/2020 97 5,990 (281) (0.01) MSCI Saudi Arabia Index USD 18/12/2020 1,600 15,257 (519) (0.01) Euro STOXX 50 Index EUR 18/12/2020 315 9,321 (643) (0.01) S&P 500 E-Mini Index USD 18/12/2020 333 46,665 (1,844) (0.04)

Unrealised loss on futures contracts 98,931 (3,834) (0.08)

The above futures contracts are held with HSBC Bank Plc and Societe Generale.

1895 Wereld Aandelen Enhanced Index Fonds* As at 31 October 2020 Market Value % of Sector Breakdown EUR'000 net assets Equity securities

Information Technology 981,262 20.56

Consumer Discretionary 613,293 12.89

Financials 603,450 12.55

Health Care 565,372 11.88

Industrials 453,010 9.56

Communication Services 453,620 9.53

Consumer Staples 371,774 7.81

Materials 220,039 4.59

Utilities 145,225 3.07

Real Estate 136,989 2.90

Energy 119,145 2.50

Other Net Assets 102,937 2.16

4,766,116 100.00


1895 FONDS FGR


39

19. Investments in securities and derivatives (continued)

1895 Wereld Aandelen Enhanced Index Fonds* As at 31 October 2020 Country Breakdown Market Value % of Country EUR '000 net assets Equity securities

Argentina 325 0.01

Australia 85,723 1.80

Austria 1,771 0.04

Belgium 11,304 0.24

Bermuda 18,777 0.39

Brazil 27,296 0.57

Canada 128,534 2.70

Cayman Islands 183,793 3.86

Chile 2,148 0.04

China 74,811 1.57

Colombia 961 0.02

Curacao 1,786 0.04

Cyprus 848 0.02

Czech Republic 877 0.02

Denmark 34,807 0.73

Finland 17,006 0.36

France 118,440 2.48

Germany 116,076 2.44

Greece 2,475 0.05

Hong Kong 44,838 0.94

Hungary 2,628 0.05

Indonesia 12,038 0.25

International 1,518 0.03

Ireland 69,080 1.45

Isle of Man 1,650 0.03

Israel 9,015 0.19

Italy 27,687 0.58

Japan 320,421 6.72

Jersey 11,172 0.23

Liberia 852 0.02

Luxembourg 1,830 0.04

Malaysia 18,680 0.39

Mexico 12,281 0.26

Netherlands 65,516 1.37

New Zealand 4,477 0.09

Norway 4,420 0.09

Pakistan 1,245 0.03

Panama 809 0.02

Papua New Guinea 751 0.02

Philippines 14,284 0.30

Poland 3,602 0.08

Russian Federation 13,797 0.29

Singapore 12,229 0.26

South Africa 22,337 0.47

South Korea 78,130 1.64

Spain 28,119 0.59

Sweden 38,469 0.81

Switzerland 137,124 2.88

Taiwan 86,845 1.82

Thailand 9,306 0.19

Turkey 2,564 0.05

United Arab Emirates 9,457 0.20

United Kingdom 156,823 3.29

United States 2,611,427 54.79

Total Equity securities 4,663,179 97.84


Total Net Assets 4,766,116 100.00


1895 FONDS FGR


40


1895 Wereld Multifactor Aandelen Fonds* Futures Contracts As at 31 October 2020


Exposure Unrealised

loss % of Description Currency date Contracts EUR’000 EUR’000 net assets MSCI India Index USD 18/12/2020 391 22,476 (53) (0.00) FTSE 100 Index GBP 18/12/2020 50 3,088 (128) (0.00) Swiss Market Index CHF 18/12/2020 33 2,948 (140) (0.00) TOPIX Index JPY 10/12/2020 40 5,167 (197) (0.01) MSCI Emerging Market Index USD 18/12/2020 325 15,372 (225) (0.01) SGX Nifty 50 Index USD 26/11/2020 671 13,404 (288) (0.01) Euro STOXX 50 Index EUR 18/12/2020 247 7,309 (538) (0.01) MSCI EAFE Index USD 18/12/2020 313 23,967 (1,198) (0.03) S&P 500 E-Mini Index USD 18/12/2020 682 95,571 (4,385) (0.10)


The above futures contracts are held with HSBC Bank Plc.

1895 Wereld Multifactor Aandelen Fonds* As at 31 October 2020 Market Value % of Sector Breakdown EUR'000 net assets Equity securities

Information Technology 912,174 21.29

Health Care 584,600 13.65

Consumer Discretionary 530,540 12.30

Financials 480,554 11.25

Industrials 457,337 10.70

Communication Services 377,890 8.83

Consumer Staples 283,040 6.61

Materials 178,104 4.21

Real Estate 120,351 2.79

Utilities 115,164 2.65

Energy 48,776 1.14


4,284,619 100.00


1895 FONDS FGR


41


1895 Wereld Multifactor Aandelen Fonds* As at 31 October 2020 Country Breakdown Market Value % of Country EUR '000 net assets Equity securities


Austria 3,601 0.08

Belgium 10,147 0.24

Bermuda 15,058 0.35

Brazil 27,054 0.63

Canada 121,350 2.83


Chile 3,623 0.07

China 59,861 1.40

Colombia 11,882 0.28

Cyprus 712 0.02

Czech Republic 3,885 0.09

Denmark 49,463 1.15

Finland 14,982 0.35

France 102,469 2.39

Germany 107,595 2.51

Greece 1,202 0.03

Hong Kong 16,322 0.38

Hungary 173 0.02


International 506 0.01

Ireland 110,147 2.57

Isle of Man 1,950 0.05

Israel 12,294 0.29

Italy 14,083 0.33

Japan 251,606 5.87

Jersey 4,324 0.10


Malaysia 23,019 0.54

Mexico 3,054 0.07


New Zealand 16,608 0.39

Norway 12,674 0.30

Peru 925 0.02

Poland 565 0.01

Portugal 37 0.00

Russian Federation 24,519 0.57


South Africa 29,335 0.68


Spain 25,654 0.60

Sweden 55,651 1.30


Taiwan 45,640 1.07

Thailand 1,654 0.04

Turkey 1,987 0.05



United States 2,277,285 53.15

Total Equity securities 4,088,530 95.42




1895 FONDS FGR


42


1895 Euro Obligaties Index Fonds* As at 31 October 2020 Country Breakdown Market Value % of Country EUR '000 net assets Bonds


Austria 28,969 2.68

Belgium 44,430 4.10

British Virgin Islands 412 0.04

Bulgaria 769 0.07

Canada 8,310 0.77

Cayman Islands 510 0.05

Chile 838 0.08

China 1,403 0.13

Colombia 113 0.01

Croatia 845 0.08

Cyprus 1,529 0.14

Czech Republic 539 0.05

Denmark 3,131 0.29

Estonia 206 0.02

Finland 14,954 1.38

France 241,132 22.27

Germany 190,253 17.57

Guernsey 306 0.03

Hong Kong 361 0.03

Hungary 211 0.02

Indonesia 841 0.08

International 35,439 3.27

Ireland 15,413 1.42

Israel 481 0.04

Italy 153,122 14.14

Japan 2,867 0.27

Jersey 774 0.07

Kazakhstan 197 0.02

Latvia 645 0.06

Lithuania 946 0.09


Mexico 1,864 0.17

Morocco 140 0.01


New Zealand 794 0.07

Norway 7,894 0.73

Peru 236 0.02

Philippines 99 0.01

Poland 3,359 0.31

Portugal 14,774 1.36

Romania 2,356 0.22

Saudi Arabia 208 0.02

Singapore 715 0.07

Slovakia 4,531 0.42

Slovenia 2,642 0.24


Spain 108,478 10.02

Sweden 8,082 0.75


United Arab Emirates 265 0.02


United States 34,668 3.20

Total Bonds 1,067,381 98.57




1895 FONDS FGR


43


1895 Wereld Bedrijfsobligaties Fonds* Forward Currency Contracts As at 31 October 2020

Maturity Amount Amount Unrealised gain/(loss) % of

Date Bought ‘000 Sold ‘000 EUR‘000 net assets

03/11/2020 USD 263,942 EUR 223,065 3,521 0.23

03/11/2020 GBP 28,835 EUR 31,852 155 0.01

Unrealised gain on forward currency contracts 3,676 0.24

02/12/2020 EUR 1,929 USD 2,260 (10) (0.00)

02/12/2020 EUR 225,225 USD 263,942 (1,219) (0.08)

02/12/2020 EUR 1,275 USD 1,500 (12) (0.00)

02/12/2020 EUR 2,025 USD 2,383 (19) (0.00)

02/12/2020 EUR 309 USD 366 (5) (0.00)

02/12/2020 EUR 222,927 USD 263,942 (3,518) (0.23)

02/12/2020 EUR 1,252 USD 1,480 (18) (0.00)

02/12/2020 EUR 31,837 GBP 28,835 (156) (0.01)

03/11/2020 EUR 2,543 USD 3,015 (45) (0.00)

03/11/2020 EUR 11,057 USD 13,077 (169) (0.01)

03/11/2020 EUR 496 USD 586 (8) (0.00)

03/11/2020 EUR 1,699 GBP 1,542 (13) (0.00)

03/11/2020 EUR 3,178 USD 3,726 (20) (0.00)

03/11/2020 EUR 3,187 USD 3,736 (20) (0.00)

03/11/2020 EUR 2,187 GBP 1,985 (15) (0.00)

03/11/2020 EUR 468 USD 550 (4) (0.00)

03/11/2020 EUR 2,819 USD 3,300 (14) (0.00)

03/11/2020 EUR 7,707 USD 9,062 (73) (0.01)

03/11/2020 EUR 1,165 USD 1,370 (11) (0.00)

03/11/2020 EUR 8,453 USD 10,000 (131) (0.01)

03/11/2020 EUR 5,103 USD 6,000 (48) (0.01)

03/11/2020 EUR 2,001 USD 2,357 (23) (0.00)

03/11/2020 EUR 1,686 GBP 1,534 (16) (0.00)

03/11/2020 EUR 6,109 USD 7,200 (72) (0.01)

03/11/2020 EUR 2,875 GBP 2,603 (14) (0.00)

03/11/2020 EUR 3,224 USD 3,776 (18) (0.00)

03/11/2020 EUR 19,824 USD 23,294 (173) (0.01)

03/11/2020 EUR 4,152 GBP 3,782 (46) (0.00)

03/11/2020 EUR 3,572 USD 4,197 (31) (0.00)

03/11/2020 EUR 121,652 USD 142,598 (764) (0.05)

03/11/2020 EUR 19,151 GBP 17,390 (152) (0.01)

03/11/2020 EUR 123,484 USD 144,758 (787) (0.05)

03/11/2020 EUR 446 USD 523 (3) (0.00)

03/11/2020 EUR 123,483 USD 144,758 (788) (0.05)

21/01/2021 EUR 5,911 USD 7,000 (86) (0.01)

21/01/2021 EUR 4,212 USD 5,000 (72) (0.01)

21/01/2021 EUR 46,947 GBP 42,800 (496) (0.03)

21/01/2021 EUR 342,770 USD 405,500 (4,652) (0.31)

Unrealised loss on forward currency contracts (13,721) (0.90)

(EUR underlying exposure - EUR 1,641,682)

The above forward currency contracts are held with Barclays, Citibank, Goldman Sachs, JP Morgan, Morgan Stanley and Royal Bank of Canada. * The Fund launched during the financial period, hence no comparative data is available.

1895 FONDS FGR


44


1895 Wereld Bedrijfsobligaties Fonds* Futures Contracts As at 31 October 2020


Exposure Unrealised gain/(loss) % of

Description Currency date Contracts EUR’000 EUR’000 net assets

US Treasury 10 Year Note (CBT) USD 21/12/2020 (589) (69,889) 488 0.03

Euro Schatz EUR 08/12/2020 213 23,955 35 0.01

GBP/USD Future USD 14/12/2020 (229) (15,925) 10 0.00

Long Gilt GBP 29/12/2020 (20) (3,012) 8 0.00

Unrealised gain on futures contracts (64,871) 541 0.04

US Treasury 2 Year Note (CBT) USD 31/12/2020 114 21,613 (2) (0.00) US Treasury 5 Year Note (CBT) USD 31/12/2020 37 3,990 (3) (0.00) US Ultra Bond (CBT) USD 21/12/2020 (9) (1,661) (21) (0.00) Euro BUXL EUR 08/12/2020 (10) (2,288) (32) (0.00) Euro BOBL EUR 08/12/2020 (118) (16,033) (58) (0.01) Canadian 10 Year Bond CAD 18/12/2020 238 23,144 (133) (0.01) Euro Bund EUR 08/12/2020 (97) (17,087) (155) (0.01) US Long Bond (CBT) USD 21/12/2020 196 29,020 (471) (0.03) EUR/USD Future USD 14/12/2020 1,786 223,372 (2,906) (0.19)


The above futures contracts are held with Merrill Lynch International. Interest Rate Swaps as at 31 October 2020

Nominal Expiration Unrealised gain/(loss)

Market Value

Value Description Counterparty Date EUR‘000 EUR‘000

CHF 2,150 Fund receives Fixed -0.6115%; and pays Floating CHF LIBOR 6 Month Citigroup 13/10/2025 1 1

AUD 1,055 Fund receives Fixed 2.5%; and pays Floating AUD BBSW 6 Month Citigroup 03/12/2025 3 72

AUD 1,415 Fund receives Fixed 2.75%; and pays Floating AUD BBSW 6 Month Citigroup 03/12/2030 2 164

Total 6 237

JPY 105,000 Fund receives Fixed 0.05%; and pays Floating JPY LIBOR 6 Month Citigroup 03/12/2022 (23) 2




Total (533) 33

(EUR underlying exposure - EUR 384,620) * The Fund launched during the financial period, hence no comparative data is available.

1895 FONDS FGR


45


1895 Wereld Bedrijfsobligaties Fonds* As at 31 October 2020 Country Breakdown Market Value % of Country EUR '000 net assets Bonds


Austria 5,741 0.38

Bahrain 781 0.05

Belgium 10,350 0.68

Bermuda 8,646 0.57

British Virgin Islands 32,134 2.11

Canada 25,520 1.68


Chile 492 0.03

China 6,499 0.43

Colombia 376 0.02

Denmark 8,036 0.53

Finland 4,023 0.26

France 106,074 6.97

Germany 37,897 2.49

Guernsey 5,894 0.39

Hong Kong 10,425 0.68


Ireland 15,945 1.05

Israel 4,038 0.26

Italy 25,207 1.66

Japan 54,793 3.60

Jersey 1,201 0.08


Malaysia 487 0.03

Mexico 5,458 0.36


New Zealand 726 0.05

Norway 2,861 0.19

Panama 1,327 0.09

Philippines 2,007 0.13

Qatar 1,149 0.08

Saudi Arabia 1,659 0.11



Spain 21,190 1.39

Sweden 13,842 0.91


Thailand 1,870 0.12



United States 698,828 45.91

Total Bonds 1,468,543 96.47



* The Fund launched during the financial period, hence no comparative data is available

1895 FONDS FGR


46

20. Schedule of Movement in Investments The following tables show a reconciliation of the movements in fair value of the Funds’ investments during the financial period ended 31 October 2020.

1895 Wereld Aandelen Enhanced Index Fonds* 2020

EUR '000 Balance at the beginning of the financial period – Purchases (5,988,156) Sales 1,015,581

Net (purchases)/sales (4,972,575)

Realised gains 114,189 Realised losses (294,243) Unrealised gains 406,405 Unrealised losses (567,432)

Net gains/(losses) (341,081)

1895 Wereld Multifactor Aandelen Fonds* 2020

EUR '000 Balance at the beginning of the financial period – Purchases (4,740,690) Sales 896,734



Net gains/(losses) 270,268

1895 Euro Obligaties Index Fonds* 2020



Realised gains 240 Realised losses (277) Unrealised gains 26,149 Unrealised losses (85)

Net gains/(losses) 26,027

1895 Wereld Bedrijfsobligaties Fonds* 2020




Net gains/(losses) (4,027)

* The Fund launched during the financial period, hence no comparative data is available. The gains and losses amounts above include transaction costs incurred to acquire and dispose of investments which are disclosed separately from gains and losses on investments in the statement of comprehensive income. 21. Portfolio Turnover Rate Transaction costs are incurred when a Funds deals in securities and issues and redeems units. The portfolio turnover rate (PTR) reflects the volume of trading by a Fund other than investing in/disposing of securities due to subscriptions in/redemptions by the Fund. It is calculated using a prescribed formula: ((purchases of securities plus sales of securities) minus (subscriptions of units plus redemptions of units)) divided by average net asset value (total sum of available NAVs divided by number of NAVs).



Aandelen Fonds*


Fonds*


Fonds*

2020 2020 2020 2020

Portfolio Turnover Rate (14.90%) 28.45% 10.16% 19.98%


1895 FONDS FGR


47

22. Soft commissions There were no soft commission arrangements entered into by the Investment Manager on behalf of the Funds during the financial period ended 31 October 2020.

23. Subsequent events

On 5 November 2020, Justin Mealy was appointed an executive director to the Manager. On 12 November 2020, 1895 Wereld Investment Grade Obligaties Fonds commenced trading with the launch of the Class D units. On 20 November 2020, the below distributions were declared:




Aandelen Fonds*

1895 Euro Obligaties

Index Fonds*


Fonds*

2020 2020 2020 2020

Distributions declared EUR '000 EUR '000 EUR '000 EUR '000

November 2020 46,593 27,885 4,727 2,630

On 9 December 2020, an updated prospectus was issued for the Entity in anticipation of the launch of 1895 Aandelen Macro Opportunities Fonds. On 19 January 2021, 1895 Aandelen Macro Opportunities Fonds commenced trading with the launch of the Class D units. On 16 February 2021, an updated prospectus was issued for the Entity in anticipation of the launch of 1895 Aandelen Thematic Opportunities Fonds. Other than the above, there have been no events subsequent to the financial period end, which, in the opinion of the Directors, may have had an impact on the financial statements for the financial period ended 31 October 2020.

24. Approval date

The financial statements were approved by the Directors on 18 February 2021.

1895 FONDS FGR

48

Additional information and regulatory disclosures (unaudited) Report on remuneration The below disclosures are made in respect of the remuneration policies of the BlackRock group ("BlackRock"), as they apply to BlackRock Asset Management Ireland Limited (the "Manager"). The disclosures are made in accordance with the Directive 2009/65/EC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (“UCITS”), as amended, including in particular by Directive 2014/91/EU of the European Parliament and of the council of 23 July 2014, (the “Directive”), and the "Guidelines on sound remuneration policies under the UCITS Directive and AIFMD" issued by the European Securities and Markets Authority. BlackRock’s UCITS Remuneration Policy (the “UCITS Remuneration Policy”) will apply to the EEA entities within the BlackRock group authorised as a manager of UCITS funds in accordance with the Directive and will ensure compliance with the requirements of Article 14b of the Directive. The Manager has adopted the UCITS Remuneration Policy, a summary of which is set out below. Remuneration Governance BlackRock’s remuneration governance in EMEA operates as a tiered structure which includes: (a) the Management Development and Compensation Committee (“MDCC”) (which is the global, independent remuneration committee for BlackRock, Inc. and all of its subsidiaries, including the Manager); and (b) the Manager’s board of directors (the “Manager’s Board”). These bodies are responsible for the determination of BlackRock’s remuneration policies.

(a) MDCC

The MDCC’s purposes include:

providing oversight of: o BlackRock’s executive compensation programmes; o BlackRock’s employee benefit plans; and o such other compensation plans as may be established by BlackRock from time to time for which the MDCC is deemed as

administrator;

reviewing and discussing the compensation discussion and analysis included in the BlackRock, Inc. annual proxy statement with management and approving the MDCC’s report for inclusion in the proxy statement;

reviewing, assessing and making reports and recommendations to the BlackRock, Inc. board of directors (the “BlackRock, Inc. Board”) as appropriate on BlackRock’s talent development and succession planning, with the emphasis on performance and succession at the highest management levels; and

Supporting the boards of the Company’s EMEA regulated entities in meeting their remuneration-related obligations by overseeing the design and implementation of EMEA remuneration policy in accordance with applicable regulation.

The MDCC directly retains its own independent compensation consultant, Semler Brossy Consulting Group LLC, who has no relationship with BlackRock, Inc. or the BlackRock, Inc. Board that would interfere with its ability to provide independent advice to the MDCC on compensation matters. The BlackRock, Inc. Board has determined that all of the members of the MDCC are “independent” within the meaning of the list ing standards of the New York Stock Exchange (NYSE), which requires each meet a “non-employee director” standard. The MDCC held 8 meetings during 2019. The MDCC charter is available on BlackRock, Inc.’s website (www.blackrock.com). Through its regular reviews, the MDCC continues to be satisfied with the principles of BlackRock’s compensation policy and approach.

(b) The Manager’s Board

The Manager’s Board has the task of supervising and providing oversight of the UCITS Remuneration Policy as it applies to the Manager and its Identified Staff. The Manager’s Board (through independent review by the relevant control functions) remains satisfied with the implementation of the UCITS Remuneration Policy as it applies to the Manager and its Identified Staff. Decision-making process Remuneration decisions for employees are made once annually in January following the end of the performance year. This timing allows full-year financial results to be considered along with other non-financial goals and objectives. Although the framework for remuneration decision-making is tied to financial performance, significant discretion is used to determine individual variable remuneration based on achievement of strategic and operating results and other considerations such as management and leadership capabilities. No set formulas are established, and no fixed benchmarks are used in determining annual incentive awards. In determining specific individual remuneration amounts, a number of factors are considered including non-financial goals and objectives and overall financial and investment performance. These results are viewed in the aggregate without any specific weighting, and there is no direct correlation between any particular Performance Index and the resulting annual incentive award. The variable remuneration awarded to any individual(s) for a particular performance year may also be zero.

http://www.blackrock.com/

1895 FONDS FGR

49

Additional information and regulatory disclosures (unaudited) Report on remuneration (continued) Decision-making process (continued) Annual incentive awards are paid from a bonus pool. The size of the projected bonus pool, including cash and equity awards, is reviewed throughout the year by the MDCC and the f inal total bonus pool is approved after year-end. As part of this review, the MDCC receives actual and projected financial information over the course of the year as well as final year-end information. The financial information that the MDCC receives and considers includes the current year projected income statement and other financial measures compared with prior year results and the current year budget. The MDCC additionally reviews other metrics of BlackRock’s financial performance (e.g., net inflows of AUM and investment performance) as well as information regarding market conditions and competitive compensation levels. The MDCC regularly considers management’s recommendation as to the percentage of preincentive operating income that will be accrued and reflected as a compensation expense throughout the year for the cash portion of the total annual bonus pool (the “accrual rate”). The accrual rate of the cash portion of the total annual bonus pool may be modified by the MDCC during the year based on its review of the financial information described above. The MDCC does not apply any particular weighting or formula to the information it considers when determining the size of the total bonus pool or the accruals made for the cash portion of the total bonus pool. Following the end of the performance year, the MDCC approves the final bonus pool amount. As part of the year-end review process the Enterprise Risk and Regulatory Compliance departments report to the MDCC on any activities, incidents or events that warrant consideration in making compensation decisions. Individuals are not involved in setting their own remuneration. Control functions Each of the control functions (Enterprise Risk, Legal & Compliance, and Internal Audit) has its own organisational structure which is independent of the business units. The head of each control function is either a member of the Global Executive Committee (“GEC”), the global management committee, or has a reporting obligation to the board of directors of BlackRock Group Limited, the parent company of all of BlackRock’s EMEA regulated entities, including the Manager. Functional bonus pools are determined with reference to the performance of each individual function. The remuneration of the senior members of control functions is directly overseen by the MDCC. Link between pay and performance There is a clear and well defined pay-for-performance philosophy and compensation programmes which are designed to meet the following key objectives as detailed below:

appropriately balance BlackRock’s financial results between shareholders and employees;

attract, retain and motivate employees capable of making significant contributions to the long-term success of the business;

align the interests of senior employees with those of shareholders by awarding BlackRock Inc.’s stock as a significant part of both annual and long-term incentive awards;

control fixed costs by ensuring that compensation expense varies with profitability;

link a significant portion of an employee’s total compensation to the financial and operational performance of the business as well as its common stock performance;

discourage excessive risk-taking; and

ensure that client interests are not negatively impacted by remuneration awarded on a short-term, mid-term and/or long-term basis. Driving a high-performance culture is dependent on the ability to measure performance against objectives, values and behaviours in a clear and consistent way. Managers use a 5-point rating scale to provide an overall assessment of an employee’s performance, and employees also provide a self-evaluation. The overall, final rating is reconciled during each employee’s performance appraisal. Employees are assessed on the manner in which performance is attained as well as the absolute performance itself. In keeping with the pay-for-performance philosophy, ratings are used to differentiate and reward individual performance – but don’t pre-determine compensation outcomes. Compensation decisions remain discretionary and are made as part of the year-end compensation process.

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Additional information and regulatory disclosures (unaudited) Report on remuneration (continued) Link between pay and performance (continued) When setting remuneration levels other factors are considered, as well as individual performance, which may include:

the performance of the Manager, the funds managed by the Manager and/or the relevant functional department;

factors relevant to an employee individually; relationships with clients and colleagues; teamwork; skills; any conduct issues; and, subject to any applicable policy, the impact that any relevant leave of absence may have on contribution to the business);

the management of risk within the risk profiles appropriate for BlackRock's clients;

strategic business needs, including intentions regarding retention;

market intelligence; and

criticality to business. A primary product tool is risk management and, while employees are compensated for strong performance in their management of client assets, they are required to manage risk within the risk profiles appropriate for their clients. Therefore, employees are not rewarded for engaging in high-risk transactions outside of established parameters. Remuneration practices do not provide undue incentives for short-term planning or short-term financial rewards, do not reward unreasonable risk and provide a reasonable balance between the many and substantial risks inherent within the business of investment management, risk management and advisory services. BlackRock operates a total compensation model for remuneration which includes a base salary, which is contractual, and a discretionary bonus scheme. BlackRock operates an annual discretionary bonus scheme. Although all employees are eligible to be considered for a discretionary bonus, there is no contractual obligation to make any award to an employee under its discretionary bonus scheme. In exercising discretion to award a discretionary bonus, the factors listed above (under the heading “Link between pay and performance”) may be taken into account in addition to any other matters which become relevant to the exercise of discretion in the course of the performance year. Discretionary bonus awards for all employees, including executive officers, are subject to a guideline that determines the portion paid in cash and the portion paid in BlackRock, Inc. stock and subject to additional vesting/clawback conditions. Stock awards are subject to further performance adjustment through variation in BlackRock, Inc.’s share price over the vesting period. As total annual compensation increases, a greater portion is deferred into stock. The MDCC adopted this approach in 2006 to substantially increase the retention value and shareholder alignment of the compensation package for eligible employees, including the executive officers. The portion deferred into stock vests into three equal instalments over the three years following grant. Supplementary to the annual discretionary bonus as described above, equity awards may be made to select individuals to provide greater linkage with future business results. These long-term incentive awards have been established individually to provide meaningful incentive for continued performance over a multi-year period recognising the scope of the individual’s role, business expertise and leadership skills. Selected senior leaders are eligible to receive performance-adjusted equity-based awards from the “BlackRock Performance Incentive Plan” (“BPIP”). Awards made from the BPIP have a three-year performance period based on a measurement of As Adjusted Operating Margin1 and Organic Revenue Growth2. Determination of pay-out will be made based on the firm’s achievement relative to target financial results at the conclusion of the performance period. The maximum number of shares that can be earned is 165% of the award in those situations where both metrics achieve pre-determined financial targets. No shares will be earned where the firm’s financial performance in both of the above metrics is below a pre-determined performance threshold. These metrics have been selected as key measures of shareholder value which endure across market cycles. A limited number of investment professionals have a portion of their annual discretionary bonus (as described above) awarded as deferred cash that notionally tracks investment in selected products managed by the employee. The intention of these awards is to align investment professionals with the investment returns of the products they manage through the deferral of compensation into those products. Clients and external evaluators have increasingly viewed more favourably those products where key investors have “skin in the game” through significant personal investments. Identified Staff The UCITS Remuneration Policy sets out the process that will be applied to identify staff as Identified Staff, being categories of staff of the Manager, including senior management, risk takers, control functions and any employee receiving total remuneration that takes them into the same remuneration bracket as senior management and risk takers, whose professional activities have a material impact on the risk profiles of the Manager or of the funds it manages. _______________________________________ 1 As Adjusted Operating Margin: As reported in BlackRock’s external filings, reflects adjusted Operating Income divided by Total Revenue net of distribution and servicing expenses and amortisation of deferred sales commissions. 2 Organic Revenue Growth: Equal to net new base fees plus net new Aladdin revenue generated in the year (in dollars).

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Additional information and regulatory disclosures (unaudited) Report on remuneration (continued) Identified Staff (continued) The list of Identified Staff will be subject to regular review, being formally reviewed in the event of, but not limited to:

organisational changes;

new business initiatives;

changes in significant influence function lists;

changes in role responsibilities; and

revised regulatory direction.

Quantitative Remuneration Disclosure

The Manager is required under UCITS to make quantitative disclosures of remuneration. These disclosures are made in line with BlackRock’s interpretation of currently available regulatory guidance on quantitative remuneration disclosures. As market or regulatory practice develops BlackRock may consider it appropriate to make changes to the way in which quantitative remuneration disclosures are calculated. Where such changes are made, this may result in disclosures in relation to a fund not being comparable to the disclosures made in the prior year, or in relation to other BlackRock fund disclosures in that same year. Disclosures are provided in relation to (a) the staff of the Manager; (b) staff who are senior management; and (c) staff who have the ability to materially affect the risk profile of the Fund, including individuals who, although not directly employed by the Manager, are assigned by their employer to carry out services directly for the Manager. All individuals included in the aggregated figures disclosed are rewarded in line with BlackRock’s remuneration policy for their responsibilities across the relevant BlackRock business area. As all individuals have a number of areas of responsibilities, only the portion of remuneration for those individuals’ services attributable to the Fund is included in the aggregate figures disclosed.

Members of staff and senior management of the Manager typically provide both UCITS and non-UCITS related services in respect of multiple funds, clients and functions of the Manager and across the broader BlackRock group. Therefore, the figures disclosed are a sum of each individual’s portion of remuneration attributable to the Manager according to an objective apportionment methodology which acknowledges the multiple-service nature of the Manager. Accordingly, the figures are not representative of any individual’s actual remuneration or their remuneration structure.

The amount of the total remuneration awarded by the Manager to its staff which has been attributed to the Manager’s UCITS-related business in respect of the Manager’s financial year ending 31 December 2019 is USD 8.4 million. This figure is comprised of f ixed remuneration of USD 3.7 million and variable remuneration of USD 4.7 million. There was a total of 67 beneficiar ies of the remuneration described above.

The amount of the aggregate remuneration awarded by the Manager, which has been attributed to the Manager’s UCITS-related business in respect of the Manager’s financial year ending 31 December 2019, to its senior management was USD 0.7 million, and to other members of its staff whose actions have a material impact on the risk profile of the Fund was USD 7.7 million.

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